Archax and OpenPayd announced their strategic partnership to support the institutional fiat currency settlement for institutional crypto trading. This collaboration enables the UK-based Archax, a regulated digital asset exchange, to use OpenPayd’s banking infrastructure to provide fast global currency settlement options for Archax’s global network of liquidity providers.
How this Partnership Tackles a Key Institutional Pain Point
Even nowadays, with sophisticated technology, it is still extremely hard for institutions to manage the flow of funds in and out of the crypto ecosystem, facing regularly complex restrictions, slow-moving banks, and time-consuming manual reconciliation. By partnering with OpenPayd, Archax will be able to connect to a unified Application Programming Interface (API) and set a centralized treasury environment for managing USD, EUR, and GBP. Therefore, Archax’s use of OpenPayd’s infrastructure will allow the firm to instantly settle transactions with liquidity providers, reducing settlement cycles from days to seconds.
On the other hand, by providing a compliant and “rails-agnostic” platform for digital asset transactions, this partnership will enable many traditional financial institutions to scale their digital asset operations.
A Strategic Move for Regulated Crypto Infrastructure
Both Archax and OpenPayd are leading complementary businesses that together will provide the regulated infrastructure to support institutional trading and payments in crypto. On its side, OpenPayd offers embedded banking and payment services to support large institutions such as Kraken and eToro. For instance, Archax provides a Financial Conduct Authority (FCA)-regulated trading and custody platform for holding and execution. Together, they create a more seamless bridge between traditional finance and digital assets.
The creation and improvement of a regulated, secure settlement network in the institutional crypto sector represents how much the industry has matured and is moving to competitive advantage based on operational efficiency of the fiat to digital asset on/off-ramp infrastructure in terms of both time and cost.
This partnership positions both companies well to benefit from the expected explosive growth of tokenized real-world assets (RWAs) that will require a robust multi-currency settlement network in order to scale.
