Crypto Exchange For Institutional Investors Launched By Archaxbr>
Digital assets firm Archax has announced the launch of its institutional-grade crypto exchange.
Based in London, the Archax exchange aims to provide crypto trading to the institutional investment community, which is highly regulated and requires exchanges to provide appropriately robust technology infrastructure.
“Existing crypto trading venues have primarily targeted early adopters and the retail space,” Archax said. “The traditional institutional investment community has not been catered for, as this new mostly unregulated and emerging world lacks the systems, controls and processes that they expect for themselves or require for their clients. This space has recently been experiencing rapid growth and institutions now have the appetite to get involved, as well as significant funds at their disposal. As they prepare for market entry, they require appropriate infrastructure for both their technological and regulatory requirements.”
Archax said the exchange will be operated under stringent regulatory and best practice principles to provide the surety and transparency needed by institutional investment companies. In addition, through partnerships with trading system vendor firms and support for industry standard APIs such as FIX, Archax will be firmly integrated into the existing institutional trading workflow.
David Buckley, Chairman of Redwood Bank and Chairman of the Archax Advisory Board, said that for institutions to get involved in the crypto space, regulations are key.
“The fact that Archax will operate as if it were regulated and is run by people who understand how the institutional world and traditional exchanges work, means firms will finally get access to new crypto assets in a way that is familiar to them and that provides all the checks, balances and capabilities that they expect,” Buckley said.
Graham Rodford, CEO of Archax, said that they have assembled a seasoned team and advisory board who understand the needs of institutions and who are used to operating in a highly regulated world – people from hedge funds, brokers, banks, exchanges, vendors and the academic space.
“Crucially, they also have a deep understanding and experience of this new ‘tech’ landscape too, and a vision of how to evolve it to open up existing crypto/digital assets to institutions, as well as pave the way for wider adoption of the technology for other asset classes via tokenization,” Rodford said.
David Lester, former Chief Strategy Officer of the London Stock Exchange Group and Advisor and Non-Executive Director at Archax, said that tokenization and blockchains are innovations that have significant potential to disrupt and open up new business opportunities.
“Tokens can turn networks into markets, Blockchains can enable more frictionless and transparent marketplaces,” said Lester. “How this evolves is of real interest to capital providers, business leaders and founders. I am pleased to be an advisor to Archax, a strong team of likeminded individuals whose mission is to bring global institutional capital to the crypto asset space, which will underpin and accelerate its adoption.”