Paxos, a leading regulated blockchain infrastructure platform, has acquired Fordefi, an institutional-grade custody and wallet technology provider. The acquisition, announced on November 25, 2025, aims to enhance Paxos's offerings in stablecoin, tokenization, and on-chain financial infrastructure. While the financial details were not disclosed, sources indicate the purchase price exceeded $100 million.
Fordefi, founded in 2021, is known for its multi-party computation (MPC) wallet platform, designed to address the unique security, connectivity, and policy challenges within decentralized finance (DeFi). The company has offices in New York and Tel Aviv. Fordefi's platform is currently trusted by nearly 300 global institutions and safeguards more than $120 billion in monthly transaction volume. Investors in Fordefi include Lightspeed, Electric Capital, Castle Island, Pantera, Microsoft, and PayPal.
The acquisition combines Paxos's decade of experience in regulated infrastructure and qualified custody with Fordefi's advanced MPC wallet architecture, policy engine, and DeFi integrations. Paxos's CEO and co-founder, Charles Cascarilla, stated that the acquisition will allow them to provide customers with a world-class custody solution built upon advanced wallet technology and regulated, qualified custody. He also noted Fordefi's impressive technology stack and customer base, which are founded on easy-to-use APIs and seamless Web3 connectivity.
Paxos's existing infrastructure and tokenization platform serves various global enterprises, including PayPal, Interactive Brokers, Mastercard, Mercado Libre, and Nubank. The company is prudentially regulated by the FIN-FSA in Europe, the NYDFS in the US, the MAS in Singapore, and the FSRA in Abu Dhabi Global Market. It has raised over $500 million from leading investors, including Oak HC/FT, Declaration Partners, Founders Fund, and PayPal Ventures. Paxos is also known for issuing regulated digital assets such as PayPal USD (PYUSD), Pax Dollar (USDP), and Pax Gold (PAXG). USDG is also available on Solana.
According to Paxos, clients will now be able to leverage a single, trusted platform to issue stablecoins, tokenize assets, and build complex payment flows while maintaining high standards for security and compliance. Josh Schwartz, CEO of Fordefi, stated that joining Paxos will allow them to bring their technology to a broader audience while maintaining their focus on security, usability, and innovation.
Fordefi will continue to operate its product independently, and customers can continue using the product as usual. Over time, Paxos will integrate Fordefi's technology and operations into its infrastructure. Dima Kogan, CTO and co-founder of Fordefi, said that all of their R&D activity in Tel Aviv will remain central to Paxos, and they will recruit many more employees and build new products together.
