Global Dollar (USDG): Paxos' Regulated Dollar Stablecoin

USDG is a Paxos product with two issuing entities. Paxos Digital Singapore issues it under Singapore's Payment Services Act as a Major Payment Institution supervised by MAS. Paxos Issuance Europe Oy, a Finnish e-money institution supervised by the FIN-FSA, issues it in the EU under MiCA. Paxos' terms say the two "jointly issue USDG" and that either can issue or redeem where the law allows ⁴⁷.

USDG is separate from Paxos' US-issued tokens. PYUSD (issued for PayPal), USDP and PAXG come from Paxos Trust Company, N.A., which moved from a New York trust charter to a federal (OCC) national trust charter in 2025 ¹⁰. The Paxos brand is shared, but the legal issuer and regulator are not.

Minting and redeeming. Only Paxos customers can buy USDG from Paxos or redeem it with Paxos. Redemption is 1:1 into US dollars, rounded down to the cent. For a fully verified customer, Paxos charges no redemption fee, but your bank's wire charges may apply. The minimum redemption equals your bank's minimum wire fee. Paxos aims to process withdrawals quickly after compliance checks, which "may take up to two (2) days", and larger amounts can take longer ⁴. Businesses can automate minting, redeeming and converting through Paxos' developer APIs ².

Everyone else gets USDG on an exchange, broker or wallet. There, the price is set by the market, and that platform's own fees and rules apply. Holding USDG bought on an exchange does not, by itself, give you a direct redemption right with Paxos. You would need to open and verify a Paxos account first ⁴.

Reserves. Paxos says reserves are held in segregated custodial bank accounts or in short-term debt instruments, Treasury-backed repos and money-market funds. For the Singapore issuer, these must sit with MAS-licensed institutions or with custodians rated at least A- that have a Singapore branch ²⁴. Monthly attestation reports are prepared under Singapore accounting-institute (ISCA) standards, by KPMG LLP since February 2026 ³. An attestation confirms reserves at a point in time. It is not a full audit of Paxos' finances.

Costs to know. Besides bank fees, Paxos' terms allow a $2 monthly charge on accounts with a balance and no activity for 12 months. Paxos also takes a market-rate fee from reserve income, without reducing reserves below the tokens outstanding ⁴.

The Global Dollar Network was announced on November 5, 2024. Its founding members were Anchorage Digital, Bullish, Galaxy Digital, Kraken, Nuvei, Paxos and Robinhood ⁵. Instead of keeping all the interest earned on reserves, Paxos passes much of it to network partners according to how much USDG they mint, hold in custody and accept. Partners can receive "up to 100%" of reserve returns on USDG held on their platforms ⁶. The network says it has more than 100 enterprise partners, including OKX and Worldpay ⁶.

The rewards go to partners, not directly to individual holders. Whether a retail user earns anything depends on the platform's own programs. OKX, for example, offers earn products on USDG ⁶. Any such yield is set by that platform, not by Paxos, and carries the platform's risk.

Paxos lists USDG on Ethereum, Solana, Arbitrum, Ink, Mantle, Robinhood Chain and X Layer ¹. DefiLlama also counts supply on Hyperliquid L1 ⁸. Any Ethereum- or Solana-compatible wallet can hold and send USDG ¹. Always check the official contract address in Paxos' docs, because imitation tokens with similar tickers exist, including the unrelated USDGO and Glo Dollar (USDGLO) ⁸.

• Issuer and custody risk. USDG's value depends on Paxos keeping full reserves and honoring redemptions. Stablecoins are not bank deposits and are not FDIC insured ⁴.
• Freeze risk. Paxos can freeze tokens wherever they are held when legally required, at a partner's request under agreed terms, or at its discretion. It can seize tokens only under a binding legal directive. Tokens tied to sanctioned or illegal activity can be forfeited ⁴.
• Secondary-market price. On exchanges, USDG can trade slightly away from $1. The DefiLlama price on October 23, 2026 was $0.99994 ⁸. See our guide to stablecoin depegs.
• Access. Paxos may limit services by country of residence and by which Paxos entity a customer signs up with ⁴. Platform availability varies.