Paxos Standard, or PAX, is a token that is backed one-to-one by USD deposits. Paxos Standard tokens are issued and redeemed by Paxos. Paxos tokens only remain in circulation as long as there are corresponding U.S. dollars being held in reserve. When PAX are redeemed for USD the tokens are immediately burned, or destroyed.
As a smart contract on the Ethereum blockchain, Paxos Standard follows the ERC-20 protocol. Unlike fiat currencies, PAX is available 24/7 to ensure payments or exchanges of any type of asset. These include cryptocurrency, securities and asset tokens.
Paxos announced the release of a PAX coin on September 10, 2018.