September 6, 2018

Technology division of Aquis Exchange to provide Archax with exchange suite including matching engine and surveillance tools.

By John Brazier

Aquis Technologies has entered into a partnership to supply cryptocurrency exchange Archax with a full suite of trading technologies ahead of its scheduled launch in H1 2019.

Under the terms of the agreement, Aquis Technologies – part of Aquis Exchange, which floated on the on the London Stock Exchange AIM market in June and has recorded increasing market share – will provide Archax with its matching engine (AME) and market surveillance (AMS) systems, in addition to operations systems and services within the post-trade space.

Both the matching engine and the surveillance system will be hosted by Aquis in the Equinix LD4 datacentre. Archax will also have exclusive use of the technologies in the digital asset space as part of the agreement.

Aquis Technologies has inked similar deals outside of the crypto space, with UBS MTF having implemented the AMS alongside RTS 27 reporting tools for MiFID II at the start of the year.

“It was vital for us to work with an existing provider of cutting-edge, traditional exchange technology with a strong record of delivering products, systems and services to third parties. Having reviewed a large number of options, it was clear that Aquis was a perfect fit for us and the winner in terms of performance,” said Graham Rodford, CEO of Archax.

“The fact that so many market participants are already familiar with their technology was a key factor in us selecting them. We believe that using a regulated MTF operator to run our core matching engine, as well as leveraging Aquis’ market surveillance team, will also fast track our time to market.”

In August, Archax announced it had also entered into a partnership with Custom House Global Fund Services, which will provide the exchange with Know Your Customer (KYC) and Anti Money Laundering (AML) checks on all entities wishing to participate in its forthcoming security token offering.

Speaking to The TRADE Crypto earlier this year, Archax’s chief financial officer, Matthew Pollard, said a vital part of launching the exchange was having the right systems in place to establish a sense of trust from the beginning.

“We have been carrying out due diligence on service providers in the hardware, software, exchange space and so on,” he said. “A lot of crypto exchanges at the moment use matching engines that do a job, but they are nowhere near the level that we have come to expect in the institutional world used on exchange’s like the LSEG or the New York Stock Exchange (NYSE). So, we’ve been talking to those firms to understand how their platforms can be adapted for this new asset class of cryptocurrencies.”