Archax has announced a partnership with R3’s Corda Enterprise with the aim of revolutionising post-trading in the financial markets.
Archax is an institutional digital stock exchange based in London, and wants to serve as a bridge between the new crypto community and the traditional investment sector.
Its platform has been specifically designed to allow the exchange of security tokens, and has been built on an existing exchange.
Thanks to the new partnership with R3, Archax will be able to use the Corda Enterprise platform to manage post-trading activities on a distributed ledger.
Archax’s services are primarily aimed at professional institutions and investors, and its application to operate a multilateral trading facility (MTF) is currently being examined by the FCA.
R3 is already working with many partners, across multiple industries, and its Corda Enterprise platform has been specifically designed for highly regulated environments with stringent requirements in terms of service quality and network infrastructure.
Archax CEO Graham Rodford said:
“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 fits the bill perfectly.
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 revolutionise the current post-trade space, removing friction and streamlining activities to improve efficiency and reduce cost”.
R3’s CRO, Cathy Minter, 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. Corda Enterprise is ideally-suited for this project, and we look forward to working together to disrupt and revolutionise how financial markets operate”.