Paxos Unit Wins SEC Clearing License After 7 Years, First Blockchain-Native Agency
Updated
Updated · Markets Media · May 29
Paxos Unit Wins SEC Clearing License After 7 Years, First Blockchain-Native Agency
11 articles · Updated · Markets Media · May 29
Paxos Securities Settlement Company secured SEC registration under Section 17A, becoming the only blockchain-native firm approved as a U.S. clearing agency and central securities depository.
Seven years of work with the regulator led to the approval, building on a 2019 no-action letter and a settlement pilot with major financial institutions.
Since February 2020, Paxos has been clearing and settling U.S. equities daily under SEC relief, using blockchain infrastructure to demonstrate same-day settlement, lower costs and greater operational efficiency.
The registration gives Paxos a fuller regulated infrastructure stack for eligible securities as blockchain-based post-trade systems move deeper into traditional capital markets.
Now that Paxos can clear trades, what happens if its temporary SEC approval is not made permanent?
With blockchain officially inside Wall Street, which legacy financial giant will be the first to fall behind?
When will this new technology start saving everyday investors real money on their stock trades?
Paxos Becomes First Blockchain-Native SEC-Registered Clearing Agency: A Seven-Year Journey Reshapes U.S. Securities Settlement
Overview
On May 28, 2026, the SEC granted Paxos historic registration as the first blockchain-native clearing agency in the U.S., marking a pivotal moment for securities settlement. This achievement, built on a seven-year regulatory journey, enables regulated settlement for tokenized securities and real-world assets, giving institutions a clear and compliant way to engage with digital assets. Paxos’s entry introduces real competition to legacy clearinghouses, spurring innovation and accelerating the shift toward near-instant, atomic settlement. This regulated pathway promises greater efficiency, reduced risk, and lower costs, setting a new standard for modernizing U.S. market infrastructure.