@ArchaxEx and @Hedera have jointly launched new infrastructure that enables real-time, second-by-second interest distribution for tokenized securities, marking a notable step forward in how y
@ArchaxEx and @Hedera have jointly launched new infrastructure that enables real-time, second-by-second interest distribution for tokenized securities, marking a notable step forward in how yield is delivered to investors in digital asset markets.
The system uses @Circle's $USDC to stream yields directly to investor wallets, with cash flows designed to automatically follow the asset as it moves through secondary markets. The approach replaces traditional periodic coupon payments with continuous, fractionalized revenue streams.
Rather than waiting for scheduled distribution dates, the infrastructure allows income to accrue and flow to holders on a second-by-second basis. Digital assets can be programmed to automatically follow trading agreement rules, streamlining processes, reducing operational costs, and minimizing counterparty risk. The use of $USDC as the settlement currency adds a layer of regulatory familiarity. USDC on Hedera is a regulated stablecoin issued by Circle, providing users and enterprises the benefits of a compliant, fiat-backed currency with the affordability, programmability, and accessibility enabled by the Hedera network.
As tokenization expands, USDC enables fractional ownership, automated compliance, and smart contract-driven commerce. By integrating with Hedera's native services, developers can create programmable money solutions such as automated payment streams and royalty distributions.
The announcement builds on an established relationship between the two firms. Archax offers a fully regulated platform for issuing, trading, and holding tokenized securities. Integrated with Hedera, it uses the Hedera Token Service (HTS) to tokenize assets like money market funds, enabling fractional ownership and fast settlement.
In July 2025, Archax facilitated tokenized collateral movement between Lloyds Banking Group and Aberdeen to support a foreign exchange transaction. Tokenized units of Aberdeen's money market fund and UK gilts were used as collateral for FX trades, with Archax issuing, transferring, and securely holding these digital tokens on Hedera. This UK-first trade demonstrated that regulated digital assets can serve as collateral under existing regulatory frameworks.
Archax is authorized by the UK Financial Conduct Authority (FCA) to operate as a multilateral trading facility, custodian, and broker. This gives the firm a unique position to serve as a bridge between traditional finance and tokenized asset markets.
The latest development signals a broader shift in how fixed-income and yield-bearing securities could operate on-chain, moving from batch processing toward a model where income follows the asset in real time, regardless of when or to whom it is traded.
