Paxos, the issuer behind PayPal’s stablecoin PYUSD, has completed a major strategic acquisition, buying New York–based wallet infrastructure startup Fordefi in a deal valued at over $100 million, according to comments the company shared with Fortune. Specific financial terms remain undisclosed.
Founded in 2021, Fordefi specializes in advanced institutional-grade wallets designed for secure interactions with DeFi protocols. The company employs around 40 people and serves a client base of more than 300 firms, highlighting its rapid growth in the decentralized finance tooling sector.
Paxos CEO and co-founder Charles Cascarilla said the acquisition reflects a clear trend among clients:
“We have customers who want access to DeFi—and they need the right tools to do that.”
This is Paxos’ second M&A move of the year. Earlier, in February, the company purchased Membrane Finance, a Finnish stablecoin issuer, enabling Paxos to meet the compliance requirements of the EU’s new MiCA regulatory framework.
The acquisition also comes on the heels of a notable mistake: on October 15, 2025, Paxos accidentally minted 300 trillion PYUSD on Ethereum—an error that was quickly reversed.
The Fordefi purchase signals Paxos’ intent to expand deeper into DeFi infrastructure, reinforcing its position in the rapidly evolving Web3 financial ecosystem.
