Archax is a London-based forthcoming digital securities exchange aiming at institutional grade capabilities. Announced April 2nd 2019, Archax announced that it has partnered with ClearBank to utilize its ‘Banking as a Service’.
Archax and ClearBank’s Banking as a Service Explained
Per the announcement, Archax will use ClearBank’s ‘Banking as a Service’ to offer access to a wide array of API-based services.
Archax also needed reliable real-time access to payment services across BACS and CHAPS with 24/7/365 payment availability.
That’s why they went with ClearBank.
According to Archax CFO Matthew Pollard,
“We were looking for an institutional banking partner that would be able to scale with us as a business and handle the large size of transactions that institutional financial market exchanges need. ClearBank are clearly of that calibre and can offer us highly scalable real-time payments powered by their industry leading, technology architecture.”
Pollard went on to describe in further detail what his enterprise saw in ClearBank:
“As a disrupter in the financial markets space, we wanted a partner who would embrace a non-traditional and innovative business, and one that was willing to invest the time and effort needed to understand our business in order to move ahead quickly with our on-boarding and deployment.”
London-based Security Token Platform Archax Explained
Archax has the mission of providing a regulated trading venue for institutions and professional investors to purchase and trade security tokens.
In bringing a frictionless alternative to traditional financial securities, security tokens feature the benefits of removed middlemen, added liquidity, and fractional ownership. Such elements transform a traditionally illiquid asset class into a new secondary market with seamless trading, available 24/7/365.
To date, assets such as equity, real estate, investment funds, REITs, and fine art have all experienced tokenization.
In February 2019, SPiCE VC— the world’s first tokenized VC fund— announced a strategic investment in Archax.
In addition to tokenizing existing structures, security tokens are anticipated to provide new methods of raising capital in a compliant manner, through the Security Token Offering (STO).
For a clear and easy to comprehend explanation of their functionality, be sure to check out our comprehensive security token guide.
What do you think about the recent developments of Archax? How will Archax unfold given the current regulatory landscape for security tokens in the United Kingdom? We want to know what you think in the comments section below.
Image courtesy of Archax and ClearBank.