Circle vs Paxos

How Circle vs Paxos compare on our ratings, stablecoin specs, funding, pros and cons.

Circle4.7/5

Paxos4.3/5

Feature	Circle Visit	Paxos Visit
Ratings
Our score	4.7/5	4.3/5
User rating	No reviews yet	No reviews yet
Reserves & transparency	5.0	4.5
Peg stability	4.5	4.5
Regulation	5.0	5.0
Liquidity & chains	5.0	3.5
Redemption	4.0	3.5
Specs
Tickers	USDC, EURC	USDP, USDG, PYUSD, PAXG
Pegged to	US dollar	US dollar
Backing	Cash & treasuries	Cash & treasuries
Yield-bearing	No	No
Regulated issuer	Yes	Yes
Licenses & charters	US BitLicense (NYDFS), US FinCEN MSB, France EMI (ACPR / MiCA), UK EMI (FCA), Singapore MPI (MAS), ADGM FSRA FSP, Bermuda Class F	National Trust Bank Charter (OCC), Limited Purpose Trust Charter (NYDFS), Major Payment Institution (MAS), Electronic Money Institution (FIN-FSA)
Supply / market cap	$72.9B as of October 2026	Not disclosed
Chains	Ethereum, Solana, Avalanche, Base, Stellar	Ethereum, Solana, Arbitrum One, Polygon PoS, Avalanche, Ink, Mantle, Robinhood Chain, X Layer, Stellar
Reserve reports	Monthly reserve attestations by Deloitte & Touche, with daily CUSIP-level reporting of the Circle Reserve Fund via BlackRock.	Monthly reserve reports conducted by KPMG LLP and previously WithumSmith+Brown, PC
Redemption terms	1:1 par redemption with 0% fees via Circle Mint for verified institutional accounts; retail redemptions via secondary exchanges.	1:1 direct fiat redemption via Fedwire, SWIFT, and CUBIX for verified institutional and enterprise platform accounts
Issuer can freeze tokens	Yes	Yes
Company
Founded	2013	2012
Headquarters	United States	United States
Investors	Not disclosed	Declaration Partners, Founders Fund, PayPal Ventures
Strengths and weaknesses
Pros	Reserves backed 1:1 by cash and short-dated Treasuries with daily CUSIP reporting Monthly reserve attestations published by Deloitte & Touche Direct institutional minting and redemption at 1:1 with zero fees via Circle Mint Holds regulatory licenses in the US, EU, UK, and Singapore	National trust bank oversight from the OCC USDP and PYUSD attestations issued by KPMG from February 2025 USDG supports seven listed networks Stablecoins are backed 1:1 under Paxos's stated model
Cons	Circle has onchain blacklist capabilities to freeze tokens on public addresses Direct fiat redemption requires corporate KYB onboarding through Circle Mint Depegged to $0.87 during the March 2023 Silicon Valley Bank failure Reserves carry counterparty exposure to partner banks holding cash deposits	Redemption depends on eligibility and Paxos onboarding controls Stablecoin access varies by token and blockchain BUSD withdrawals are no longer available on the Paxos Platform Issuer controls and reserve-custody arrangements create freeze and redemption risks
Best for	Institutional cross-border payment settlement, DeFi liquidity providers and traders, European entities needing MiCA compliance	Businesses issuing stablecoins, Institutional payment platforms, Developers building stablecoin integrations

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