US Regulators Open Door to Blockchain Innovation in Traditional Finance

US regulators have made significant strides in embracing blockchain technology, paving the way for innovation in traditional finance. The Securities and Exchange Commission (SEC) has approved Paxos' application to become a registered clearing agency, allowing it to provide clearing and settlement services for eligible securities.

The approval marks a major breakthrough for blockchain-based post-trade infrastructure, which could deliver same-day settlement, reduce costs, and improve operational efficiency within a fully regulated framework. Paxos is already licensed by several regulatory bodies worldwide, including the OCC in the US, FIN-FSA in Europe, and MAS in Singapore.