With the help of this service, holders of stablecoin assets can convert them into yield-producing products like regulated Money Market Funds (MMFs), which are also offered in tokenized form.

Investors who have assets in passive stablecoins are losing out on possible returns from using those assets in the present high-interest market environment. This is especially true because holding stablecoins frequently becomes the default choice when deciding to "risk off" from cryptocurrency trading. However, a lot of investors prefer to have instant access to their money, which makes conventional bank accounts that pay interest less desirable.

Leading asset managers provide a range of MMFs on Archax, which makes it simple for customers to move their stablecoin holdings into regulated, yield-bearing securities. Because it removes the single counterparty risk connected to banks and stablecoin issuers, this option is especially alluring.

"By leveraging our regulated digital asset status along with our cryptocurrency permissions, we are uniquely positioned to offer innovative services that bridge the gap between traditional and digital financial products," says Archax CEO and co-founder Graham Rodford. Compared to the existing stablecoin asset holding methods, these yield-bearing securities offer a tempting alternative. Once tokenized, they can be used as collateral for loans and borrowing or as a type of "currency" for transactions. This exemplifies how tokenization and blockchain technology will revolutionize and update established financial market systems."