London-based institutional digital securities exchange Archax, is teaming up with R3 to use R3’s Corda Enterprise platform to handle post-trade activities on a distributed ledger.
Graham Rodford, CEO of Archax, commented:
“Our existing systems and partnerships with firms like Aquis, provide the core functionality for our exchange. R3, with its Corda product, provides the final piece of the puzzle on which we can build a truly revolutionary post-trade solution. Although Archax is blockchain agnostic for digital security issuances, we needed an institutional-grade system for our own post-trade use. R3’s permissioned blockchain solution is already used by leading blue-chip organisations so it fits the bill perfectly. This partnership will deliver the blockchain efficiency gains for financial markets that are so often talked about, and we believe will be the first of its kind.”
Archax, is focused on providing an exchange for institutions and professional investors to trade in all types of digital securities globally. Its application to operate a multilateral trading facility (MTF) in London is currently being considered by the FCA. Archax will use R3’s Corda technology to build its post-trade infrastructure to reduce friction in the post-trade process.
R3 works with a broad range of participants across multiple industries, from both the private and public sectors, to build their applications on Corda and Corda Enterprise. Corda Enterprise harnesses the core elements of Corda so that businesses can get up and running quickly and efficiently and has been designed specifically for highly regulated environments with exacting requirements around the quality of service and network infrastructure. Under this partnership, Archax will use a private version of Corda Enterprise within its own ecosystem to handle post-trade activities.
Cathy Minter, CRO of R3, added:
“Working alongside the world’s leading financial institutions, R3 made a conscious decision to leverage blockchain technology to solve real business problems in both complex and highly regulated markets. Representing assets as tokens on a blockchain platform is one of the most impactful applications of the technology and a key focus for R3, too. Archax, with its experienced team and base in London, is building one of the most credible venues for these tokens and will play a key role in driving institutional adoption. As such, our Corda Enterprise platform is ideally suited for this project, and we look forward to working together to disrupt and revolutionize how financial markets operate.”
“The current post-trade process in traditional financial markets is hugely inefficient, with many intermediaries involved. This partnership between R3 and Archax will enable us to revolutionize the current post-trade space, removing friction and streamlining activities to improve efficiency and reduce cost.”, concluded Rodford.
Archax is a forthcoming institutional-grade digital securities exchange based in London. Founded by experts from the regulated financial markets world and backed by an accomplished advisory board, Archax offers a credible bridge between the new blockchain-centric crypto community and the traditional investment space.
Archax is designed specifically for professional investors to trade in security tokens and is built using existing, proven, resilient, scalable, high-performance exchange infrastructure, hosted in top-tier datacentre space, and integrated into the existing institutional trading workflow.
Digital securities, also known as security tokens, are digital representations of traditional financial instruments, such as shares, bonds and funds, or other real-world assets, including art and property, which are tokenised using blockchain technology. This modernises and simplifies the process of raising capital by removing friction and middlemen whilst allowing fractional ownership. It can also facilitate liquidity for currently hard to trade assets through trading on global secondary markets that are available round the clock.
R3 is an enterprise blockchain software firm working with a global ecosystem of more than 300 participants across multiple industries from both the private and public sectors to develop on Corda, its open-source blockchain platform, and Corda Enterprise, a commercial version of Corda for enterprise usage. R3’s global team of over 200 professionals in 13 countries is supported by over 2,000 technology, financial, and legal experts drawn from its vibrant ecosystem. The Corda platform is already being used in industries from financial services to healthcare, shipping, insurance and more. It records, manages and executes institutions’ financial agreements in perfect synchrony with their peers, creating a world of frictionless commerce. Learn more at www.r3.com and www.corda.net.
