To further support institutional investor confidence while leveraging tokenisation and blockchain technology to democratise financial markets, Archax has partnered with NorthRow to deliver robust client due diligence processes, and monitor clients’ risk status on an ongoing basis.
The partnership will also allow Archax, which aims to help bring liquidity to assets that are currently hard to trade, to offer an improved remote customer onboarding experience, as well as ensuring that anti-money laundering regulatory requirements are met.
With Archax looking to bridge the gap between the blockchain-centric crypto community and the traditional investment space, its partnership with Northrow will enable the platform to better understand its clients throughout their customer lifecycle, from onboarding through to ongoing monitoring.
To achieve its targeted growth, Archax will leverage NorthRow’s insight to customer behaviour when it comes to compliance.
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“As the first firm to be listed on the FCA’s cryptoasset register, delivering and conducting KYC/AML checks on our customers is critical,” said Andrew Flatt, founder and CTO of Archax.
“Archax needed a partner that shares its mantra of speed, security and user experience. Our new relationship with NorthRow has made this possible.
“By accelerating our customer due-diligence processes, Archax users will benefit from a great user experience whilst we ensure we meet the highest levels of compliance.”
Adam Holden, CEO of NorthRow, commented: “We’re excited to bring our experience and technology to the partnership with Archax.
“Our delivery of digital compliance solutions fits well into this exciting and emerging world of digital asset exchanges.
“The partnership will complement our strategic focus on delivering digital transformation to the regulated sectors and our joint efforts will enable us to push the future of cryptocurrencies exchange and brokering.”
Meeting increased interest in crypto
Interest in cryptocurrencies has been found to be rising among investors, with 80% of US and European traditional investors considering cryptocurrency to be an appealing portfolio prospect, according to a recent report by Fidelity Digital Assets.
In addition, the tokenisation of assets using blockchain technology to create regulated digital securities or security tokens, and bring liquidity to markets is gaining traction.
Historically, the lack of regulation and risk management infrastructure around crypto investments has meant that traditional firms have avoided making a play in this new market, but developments such as the first FCA regulated digital securities exchange from Archax could change perceptions in the space.
