Archax selects R3’s Corda platform for digital exchange DLT infrastructure

London-based institutional digital securities exchange, Archax has announced that it has teamed up with R3. The exchange will use R3’s Corda Enterprise platform to build its post-trade infrastructure to reduce friction in the post-trade process, as well as to handle post-trade activities on a distributed ledger.

Archax’ application to operate a multilateral trading facility (MTF) in London is currently being considered by the UK regulator FCA.

Graham Rodford, CEO of Archax, comments:

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. 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.

Cathy Minter, CRO of R3, adds:

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.

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.”, concludes Rodford.

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