Paxos settlement solution “future-proofs” precious metals commodities markets and boosts returns

Paxos, a regulated blockchain infrastructure platform for enterprises, has launched an automated post-trade lifecycle management solution for the precious metals commodities market. Paxos Post-Trade and Settlement offers multilateral payment netting and simultaneous settlement for the unallocated, over-the-counter precious metals market, reducing the amount of funds leaving accounts, unlocking working capital and reducing counterparty risk. Boosting efficiency could not come at a better time for the commodities market, which traditionally lags more traditional equities markets in terms of settlement infrastructure and efficiency. Anoushka Rayner, head of commodities growth at Paxos, said Paxos clients using the post-trade and settlement solution are already seeing “billions” of dollars’ worth of reductions in their settled trades and “millions” on funding cost savings. “Our solution is also helping future-proof users against rapidly shifting regulations around settlement, such as the move to T+1 settlement in the US, with Paxos’ technology permitting clients to settle precious metal trades within a day,” Rayner said.