- Regulated digital asset exchange Archax seeks to revolutionize institutional investors’ engagement with digital assets by partnering with Hedera Hashgraph.
- Leveraging Hedera’s bank-grade security and performance, Archax thus aims to provide a trusted platform for trading and custody of digital assets.
UK-based regulated global digital asset exchange Archax is currently gearing up for a transformative regulated global digital asset exchange. The exchange seeks to change the way how institutional investors engage with digital assets.
As a result of this, Archax has partnered with Hedera Hashgraph while leveraging the network’s bank-grade security and performance, per the Crypto News Flash report. Thus, Archax will be able to offer institutions a trusted platform for trading as well as custody of digital assets.
On the regulatory front, the absence of coherent and consistent regulations governing digital assets posed significant restrictions for institutional investors. The varying regulatory landscapes across jurisdictions presented a complex maze for global institutions, with some regions adopting a cautious approach while others actively developed regulatory frameworks.
This regulatory disparity heightened compliance risks and complicated the navigation of different regulatory regimes, demanding extensive legal and compliance resources. Leveraging its deep-seated experience within heavily regulated financial sectors, Archax took proactive measures to address this challenge.
Notably, drawing upon the expertise of Mr. Graham Rodford, Archax’s former chief compliance officer at a UK-based hedge fund, the company navigated these complexities to become the inaugural firm to secure regulatory approval from the Financial Conduct Authority (FCA). This milestone accreditation positioned Archax as the premier digital securities exchange, custodian, and brokerage, instilling confidence among institutional investors and solidifying its status as a trusted leader in the digital asset realm.
Here’s How Archax Leverages the Hedera Technology
Archax addresses these challenges head-on by fostering a culture of transparency and placing paramount importance on security measures. Their platform, accredited and regulated, instills trust among clients by adhering to rigorous compliance standards, including robust anti-money laundering (AML) and know-your-customer (KYC) protocols.
Moreover, Archax undertakes security measures by leveraging both the expertise cultivated from years of operation within heavily regulated financial institutions and the inherent security features embedded in the distributed ledger technology (DLT) underpinning their platform, specifically the Hedera network.
Hedera’s asynchronous Byzantine Fault Tolerant (aBFT) consensus mechanism ensures fair and secure transaction timing and order, mitigating any possibilities of manipulation. Additionally, cryptographic tools such as digital signatures and hash functions safeguard data integrity, preempting any attempts at tampering. These robust features, coupled with Hedera’s enterprise-grade security focus, empower Archax to provide unparalleled protection for their clients’ sensitive financial transactions.
Addressing infrastructure concerns, Archax has devised solutions to surmount the hurdles impeding institutional investors’ foray into digital assets. Archax offers an infrastructure tailored to the distinctive requirements of digital assets. Their platform seamlessly integrates with existing systems, facilitating efficient clearing, settlement, and custody of digital assets.