Archax and Algorithand will develop tools for implementing DeFi among institutions

Archax digital securities exchange and the Algorithand project will develop new products that will become a “bridge” between centralized and decentralized Finance (DeFi).

According to the management of Archax and Algorithand, organizations will create financial products that simplify the interaction between DeFi and centralized Finance services. We are talking about stablecoins that use smart contracts, mutual funds and traded index funds (ETFs), with which investors will also be able to diversify their portfolio.

Tools will be created by Algorithand. At the end of last year, the project updated its Protocol, adding support for scalable smart contracts for decentralized applications and DeFi. This month, Algorithand also added state-locking smart contracts, fast syncing, and session key changes.

Archax will place these products on its trading platform. Note that last week, the financial supervision Authority of the United Kingdom (FCA) issued licenses to the exchange as a multi-party trading platform (MTF), broker and custodian of funds and assets. Archax CEO Graham Rodford believes that the partnership with Algorithand will contribute to the widespread adoption of cryptocurrencies and the development of DeFi at the institutional level.

“Archax is committed to working with leading service providers in the industry, as the exchange is interested in creating innovative regulated financial products. The DeFi industry is growing rapidly. However, there are some challenges that still need to be addressed in order for decentralized funding to be in demand among institutions, ” Rodford said.

Recall that a few months ago, Algorithand announced a collaboration with Blockstack. Firms have started developing Clarity – a new programming language for smart contracts designed to provide direct interaction between different blockchains.