Paxos to Wind Down USDL Lift Dollar Stablecoin by December 2025

Paxos, a leading provider of regulated blockchain solutions, will discontinue its USDL Lift Dollar stablecoin by December 2025 as part of a strategic pivot toward higher-impact financial infrastructure projects. The Financial Services Regulatory Authority of Abu Dhabi Global Market (FSRA of ADGM) will oversee the process.

New USDL minting halts immediately, with yield accrual ending December 8. Paxos will facilitate redemptions for onboarded users, while others must utilize Curve pools for conversion. Residual balances above $1 will automatically convert to Paxos Dollar (USDP), with smaller amounts forfeited. The company emphasizes its proven track record in orderly stablecoin transitions, having previously managed similar wind-downs without disrupting token holders' access to underlying dollar values.