UK Regulator Grants License to Digital Security Exchange Archax

The U.K. watchdog has granted several licenses to Archax that will allow it to become a "one-stop shop" for the digital security space.

AccessTimeIconAug 19, 2020 at 10:13 a.m. UTC
Updated Sep 14, 2021 at 9:45 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

The Financial Conduct Authority (FCA) has granted several licenses to digital securities exchange and custodian Archax – making it one of the world's first authorized trading spaces for the asset-class.

  • Archax said Wednesday it was now licensed as a multilateral trading facility (MTF) exchange, a broker and a cash and asset custodian.
  • It is also the first crypto-asset firm to be registered with the U.K.'s Financial Conduct Authority, a designation that will soon be mandatory for all companies working in the digital asset space from January next year.
  • The London-based exchange, which is orientated towards institutions, is now authorized to host offerings, act as a trading venue as well as custody digital securities.
  • Co-founder and CFO Matthew Pollard told CoinDesk Archax had become a "one-stop-shop" for the still-nascent digital securities space.
  • A digital security is a catch-all term for traditional assets, such as equity or debt, that has been tokenized and put on the blockchain.
  • The upshot from Wednesday's announcement is that institutions will be able to trade digital securities on an authorized market for the very first time in the U.K.
  • Archax CEO Graham Rodford said the exchange now has 35 issuances in the pipeline.
  • Pollard said Archax employed its own specific admissions criteria for the type of digital securities it would allow on its platform.

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.