Lynq is an institutional settlement network, developed outside of the traditional banking system to facilitate faster, operationally efficient settlement of digital asset securities. It combines regulated financial institutions and blockchain technology to create a broker-dealer-operated settlement platform anchored by a money market fund product backed 1:1 by underlying assets.
Lynq’s service model is supported by:
- tZERO Securities, an SEC-registered broker-dealer and FINRA member, serving as platform operator and facilitating transactions and custody of customer cash.
- tZERO Digital Asset Securities, an SEC-registered special purpose broker-dealer and FINRA member, acting as the custodian for digital asset securities.
- Arca Capital Management, LLC (“Arca”), an SEC-registered investment adviser, managing the fund product supporting settlement.
- Tassat Group, Inc., providing the proprietary technology infrastructure, SOC II-certified for operational standards alignment.
Regulated Access and Continuous Monitoring
All platform participants are brokerage customers of tZERO Securities and tZERO Digital Asset Securities. Customers are subject to each firm’s customer due diligence programs, including Know Your Customer (KYC) and Anti-Money Laundering (AML) requirements. Both broker-dealers conduct ongoing monitoring of accounts for suspicious activity in accordance with applicable regulatory standards.
Broker-Dealer-Facilitated Transactions and Custody
tZERO Securities facilitates digital asset securities transactions on the platform and holds customer cash in accordance with the SEC’s Customer Protection Rule.
tZERO Digital Asset Securities custodies digital asset securities, operating pursuant to the SEC’s December 23, 2020 statement regarding the Custody of Digital Asset Securities by Special Purpose Broker-Dealers.
Yield-Bearing Fund Product
Arca manages the fund product used for settlement on Lynq. Assets of the fund are maintained in segregated accounts and overseen by an independent auditor, custodian, fund administrator, and board of trustees.
Shares of the fund are issued as digital asset securities on Avalanche’s open-source Layer 1 blockchain to enable blockchain-based operational efficiencies.
Secure Technology Foundation
Tassat provides the technology infrastructure supporting Lynq. Tassat’s platform is SOC II-certified to meet operational standards applicable to regulated financial markets.
Enabling Broker-Dealer Operated Settlement
By combining regulated broker-dealer operations, registered investment advisory services, and secure technology infrastructure, Lynq facilitates settlement workflows that integrate traditional financial operational standards with blockchain-based technologies.
The collaboration of tZERO Securities, tZERO Digital Asset Securities, Arca, and Tassat enables Lynq to provide institutions with an additional method for settlement aligned with regulatory frameworks.
About the Core Partners
tZERO Securities, LLC
An SEC-registered broker-dealer and FINRA/SIPC member, operating the tZERO Securities Alternative Trading System (ATS). More information is available via FINRA’s BrokerCheck.
tZERO Digital Asset Securities, LLC
An SEC-registered special purpose broker-dealer providing custody services for digital asset securities. Operates in accordance with the SEC’s Custody of Digital Asset Securities by Special Purpose Broker-Dealers framework.
Arca Capital Management, LLC
An SEC-registered investment adviser managing private fund structures that integrate blockchain technology into traditional investment management frameworks.
Tassat Group, Inc.
A technology provider offering SOC II-certified settlement infrastructure solutions tailored for regulated financial institutions.
Investor Notice
Investing in securities, including digital asset securities, involves risk. Risks may include loss of principal, lack of liquidity, market volatility, fraud, theft, technological vulnerabilities, and other factors. Investors should carefully evaluate their individual investment objectives and risk tolerance before investing.
No Offer, Solicitation, or Investment Advice
This communication is for informational purposes only and does not constitute an offer to sell, a solicitation to buy, or a recommendation regarding any security, product, or service.
Forward-Looking Statements
This communication may contain forward-looking statements. Actual results may differ materially due to risks, uncertainties, and other factors. Neither Lynq nor any of its partners undertake an obligation to update forward-looking statements following the date of this communication.