By Liam Bussell
HONG KONG, Nov. 15, 2017 /PRNewswire/ — The OAX Foundation, the not-for-profit entity that supports the development of the OAX decentralized exchange platform, held its first working group for industry participants this week. The aim of the working group is to develop a series of industry “best practices” in the areas of compliance, KYC, holding and security of funds and other key areas that will be integrated into the ongoing development of the OAX platform.
The OAX project aims to develop and launch a decentralized exchange with collateral supported asset gateways acting as the “on-ramps” to the ecosystem. By increasing transparency (including posting collateral to a smart contract for digital assets and/or depositing fiat into segregated accounts), asset gateways allow users to properly evaluate the risk of any trade. By doing so, OAX enhances consumer protection to the sometimes opaque cryptocurrency space. OAX plans to launch the first phase of its rollout for institutional participants in the first quarter of 2018, with retail access coming at a later date.
The OAX Foundation’s development team, led by Enuma Technologies, also demonstrated early UX/UI screens and features to the working group, including the minting and burning of collateral backed tokens, transactions and other key features.
The attendees of the Working Group were from key industry stakeholders, related to key milestones in the roadmap for the OAX project. Participants included Blockbonds, a technology start-up that utilizes blockchain technology with the aim of helping to “bank the unbanked”; Trusted Key and Netki, two of the KYC industry leaders; Octagon Strategy, Asia’slargest digital asset OTC trading desk; PwC Hong Kong, adviser to the Foundation with respect to governance, risk management and internal control matters; EY, adviser to the Foundation in relation to taxation and accountancy matters; alongside one of Hong Kong’s top digital asset legal firms, King & Wood Mallesons.
Speaking about the inaugural meeting, William Barkshire, Senior Advisor to the Foundation and Working Group chair said. “It was an extremely productive first meeting — the aim of the OAX project is to enhance consumer protection and transparency for digital asset users and a safe, compliant avenue for bringing fiat currencies onto and off the blockchain. As such, KYC and regulatory compliance are two fundamental areas of focus. The group was very receptive, and engaged in a frank and honest dialogue about the challenges and opportunities they foresee. We will take that input and use it to further refine the project.”
The Working Group will meet monthly to discuss various topics, such as asset gateway protocols, KYC/AML, compliance and effective banking integration. The next meeting will focus on KYC interoperability and best practice.