BUSD, issued by Paxos Trust Company, N.A., is a U.S. dollar (USD) stablecoin that is structured as a fully reserved, trust-issued token redeemable at parity and backed exclusively by cash and cash equivalents held in segregated, bankruptcy-remote accounts [S1][S2].

BUSD references the U.S. dollar (USD) at a 1:1 peg, with each token redeemable for one U.S. dollar [S1]. As a regulated trust company, Paxos holds all regulated stablecoin reserves only in cash and cash equivalents and cannot lend out customer assets, and reserve composition reports detail cash, U.S. Treasuries, and repurchase agreements accurate down to the CUSIP [S2][S3]. Token-level holder fees are not part of the issuer fee schedule for this product.

Paxos Trust Company, N.A. is a United States federally chartered trust company regulated by the Office of the Comptroller of the Currency (OCC), having converted from its original 2015 New York State Department of Financial Services (NYDFS) charter, which remains its prudential regulator [S4][S2][S3]. Holders of a Paxos trust-issued stablecoin have a direct legal claim to the reserves and can recoup funds at par in insolvency, with client assets held in segregated, bankruptcy-remote accounts under the trust charter [S1][S2]. Redemption is 1:1 against U.S. dollars and always available [S1]. Purchasers complete mandatory identity verification, and sanctioned activity prohibits issuance and redemption [S5].

BUSD settles onchain as a Paxos-issued stablecoin minted and redeemed 1:1 against U.S. dollars, with redemption always available [S1]. Reserve assurance follows Paxos's monthly third-party attestation model, in which the examination provider, appointed with NYDFS approval, independently confirms reserves with banking and vault systems including a randomly selected additional day each month [S3].

<Sources
  retrievedAt="2026-06-19"
  items={[
    { id: "S1", url: "https://www.paxos.com/usdp" },
    { id: "S2", url: "https://www.paxos.com/blog/why-trust-company-issued-stablecoins-are-the-safest-path-for-global-finance" },
    { id: "S3", url: "https://www.paxos.com/usdp-transparency" },
    { id: "S4", url: "https://www.paxos.com/pax-gold" },
    { id: "S5", url: "https://www.paxos.com/terms-and-conditions/pax-gold-terms-conditions" },
  ]}
/>


# Asset Price methodology

## 1. Overview

Asset price represents the closing USD value of a tokenized asset at the end of each day. Daily prices are recorded to facilitate the valuation of on-chain activity and the calculation of market capitalization. Each price point reflects the market value at the conclusion of the UTC day.

## 2. Data sources

- **Asset metadata**: Token contract addresses, ticker identifiers, and on-chain launch timestamps
- **External data**: End-of-day price feeds and exchange rate feeds from market data providers
- **Blockchain data**: Data covering EVM-compatible chains (Ethereum, Arbitrum, Base, Polygon, Optimism, and others) and non-EVM chains such as Solana, Aptos, and Near

## 3. Step-by-step calculation

### Component A: Market data retrieval

- **Purpose**: Collect raw daily price information
- **Logic**: Daily price data is retrieved from external market data providers. For assets pegged to specific currencies, prices are calculated using a multiplier and daily exchange rates. For assets traded on traditional exchanges where data is unavailable on certain days, such as weekends or holidays, missing values are filled with the last available closing price.

### Component B: Timestamp normalization

- **Purpose**: Align price data with daily reporting periods
- **Logic**: Timestamps are truncated to the daily grain. To accurately reflect the closing value, prices recorded at the start of a day (00:00:00 UTC) are assigned to the preceding calendar day.

### Component C: Asset mapping and deduplication

- **Purpose**: Associate prices with unique assets and resolve data overlaps
- **Logic**: Prices are mapped to assets using unique identifiers for EVM-compatible and non-EVM chains. To ensure data integrity, price records are filtered to include only those occurring on or after the asset's on-chain launch date. In instances where price data for a single asset is available from multiple sources, the data is deduplicated by selecting the record with the highest priority to ensure a single, consistent closing price.

*This methodology was automatically generated by Token Terminal's methodology analyzer.*

Asset price

Stablecoins

Users deposit funds into Paxos account and receive BUSD or USDP at a 1:1 rate.

Paxos is a financial technology company that is the principal architect of BUSD & USDP - full-reserve fiat stablecoins that bring US dollar liquidity on-chain.

Paxos is a private company registered in the US. Paxos' investors include OakHC/FT, Declaration Partners, Mithril Capital and PayPal Ventures etc.

github

twitter

etherscan

website

Stablecoin issuers

Paxos

Binance USD (BUSD) is a U.S. dollar stablecoin issued by Paxos through Paxos Trust Company, National Association.

Each token is redeemable one-for-one for U.S. dollars and is a collateral-backed contractual exposure rather than a direct claim on the issuer.

Issuance is closed to new minting, with existing holders able to redeem.

Reserves are held in segregated accounts within a bankruptcy-remote structure, attested monthly by WithumSmith+Brown, PC.

Holders can mint and redeem directly with Paxos in USD after completing KYC, and holders have a contractual right to redeem at par.

Paxos Trust Company, National Association is incorporated in the United States, operates under a U.S. state trust charter, and is supervised by the Office of the Comptroller of the Currency (OCC) and the New York State Department of Financial Services (NYDFS).

Holder terms are governed by the law of New York in the United States.

BUSD has been issued on Ethereum as an ERC-20 token since September 2019.

Binance USDBUSD