Digital Asset Industry Leaders to Launch Lynq, a Real-Time, Yield-Bearing Settlement Network for Institutional Clients

Lynq’s launch partners include Arca Labs, Avalanche, B2C2, Galaxy Digital, Tassat Group, tZERO Group, U.S. Bank, and Wintermute.

NEW YORK--(BUSINESS WIRE)--Arca Labs, Tassat Group, Inc. (“Tassat”), and tZERO Group, Inc. (“tZERO”) today announced the launch of Lynq, a real-time, yield-bearing settlement network powered by a tokenized treasury fund custodied at a special purpose broker-dealer. This announcement comes after more than a year of market engagement, platform development and the creation of the Arca Institutional U.S. Treasury Fund “TFND”, a tokenized treasury fund that issues shares as digital asset securities.

Scheduled for go-live in Q2, 2025, Lynq was developed in collaboration with leading digital asset institutions to deliver an efficient, scalable, and inclusive settlement solution. Lynq’s launch partners, which include B2C2, Galaxy (TSX: GLXY), and Wintermute, will assist with counterparty onboarding to accelerate network adoption and drive initial liquidity. Additional partners include U.S. Bank, which will provide treasury management services to the Lynq ecosystem and serve as Lynq’s qualified cash custodian, and Avalanche, which will provide the open-source Layer 1 blockchain network on which TFND shares will be issued and rebalanced.

“Lynq is an end-to-end settlement utility built by the industry, for the industry,” said Rayne Steinberg, CEO of Arca; Zain Saidin, CEO of Tassat; and David Goone, CEO of tZERO. “Our goal is to provide a quality settlement service that can meet the liquidity, scale, and security needs of our digital asset clients, while maximizing capital efficiency for all network participants.”

Lynq aims to address the unique challenges of digital asset settlement, including market fragmentation, counterparty risk, and evolving regulatory frameworks, while returning yield to institutional clients. Lynq operates within a legal framework that leverages tZERO’s Broker-Dealer and Special Purpose Broker-Dealer licenses as well as Arca’s Registered Investment Adviser and Delaware Trust. This innovative architecture, paired with Tassat’s widely adopted, real-time blockchain infrastructure, provides clients with segregated account security, transparent proof of reserves, and broad ecosystem connectivity, all on a familiar and trusted platform.

“At B2C2, we’ve built our reputation on delivering reliable, institutional-grade liquidity across all market conditions,” said Thomas Restout, Group CEO of B2C2. “Partnering with Lynq is a natural extension of that commitment — enabling us to offer clients even greater capital efficiency through real-time, yield-bearing settlement. As the market continues to evolve, we see Lynq as a key part of the next generation of institutional infrastructure.”

“Mass institutional participation in the digital asset market requires robust infrastructure,” said Jason Urban, Global Head of Trading at Galaxy. “Galaxy is working to drive innovation across the ecosystem through strategic collaboration, and Lynq represents an important advancement by delivering real-time settlement capabilities that offer yield-bearing solutions tailored for institutional clients.”

“We’re seeing a clear shift toward greater institutional participation, and Lynq is designed to support this evolution,” said Katryna Hanush, Managing Director at Wintermute. “It streamlines onboarding, subscription, and redemption, offering counterparties a safer and more efficient way to transact through settlement rails that integrate regulatory clarity, real-time operations, and yield.”

“We are proud to partner with Lynq and provide custody services that meet the compliance and regulatory standards that institutional clients require,” said Jay Martin, president, U.S. Bank Global Fund Services.

To learn more about Lynq and join the network, please visit https://lynq.network.

About Lynq

Lynq is a broker-dealer operated real-time settlement utility powered by a tokenized treasury fund custodied at a special purpose broker-dealer. Developed by Arca Labs, Tassat, and tZERO Group, and supported by a syndicate of leading digital asset and tradfi institutions, Lynq offers clients a scalable and inclusive settlement service on a proven end-to-end platform. Built by the industry, for the industry, Lynq delivers yield and transparent proof of reserves within a bankruptcy-remote architecture that minimizes counterparty risk. Lynq’s patent-pending Yield-in-Transit technology enables users to maximize earned interest even during settlement operations, driving unprecedented capital efficiency. Yield is calculated by the fund administrator, Ultimus Fund Solutions. For more information, please visit https://lynq.network.

About Arca Labs

Arca Labs is the innovation division of Arca, a leading digital assets investment firm. It is focused on using the transformative power of blockchain and digital assets to create a more efficient and democratized financial system. Arca Labs is leading the effort to build financial infrastructures, networks, and products for the digital age through research and development, partnerships, advisory, and community building. Arca pioneered the BTF (Blockchain Transferred Fund) by launching the first registered ‘40 Act fund to issue shares as digital asset securities. Learn more at http://www.arcalabs.com.

About Tassat Group

Tassat Group, Inc. delivers institutional-grade blockchain solutions that enable partners to transact in real-time with greater efficiency, speed, and transparency. Having settled more than $2.5 trillion to-date on behalf of leading digital asset institutions, Tassat’s digital infrastructure operates within regulatory perimeters in global markets to enhance instantaneous transaction and settlement capabilities across industries such as financial services, digital assets, healthcare, and construction. Tassat was honored with a 2021 Google Cloud Customer Award for innovation in financial services and was the US FinTech Award winner for Payments Tech in 2023. For more information, visit us at www.tassat.com, on X or LinkedIn.

About tZERO Group

tZERO Group, Inc. (tZERO) and its broker-dealer subsidiaries provide an innovative liquidity platform for private companies and assets. We offer institutional-grade solutions for issuers looking to digitize their capital table through blockchain technology, and make such equity available for trading on an alternative trading system. tZERO, through its broker-dealer subsidiaries, democratizes access to private assets by providing a simple, automated, and efficient trading venue to broker-dealers, institutions, and investors. All technology services are offered through tZERO Technologies, LLC. For more information, please visit our website.

About tZERO Digital Asset Securities

tZERO Digital Asset Securities, LLC is a broker-dealer registered with the SEC and a member of FINRA and SIPC. It operates in accordance with the SEC's statement, dated December 23, 2020, regarding the Custody of Digital Asset Securities by Special Purpose Broker-Dealers. Digital asset securities may not be "securities" as defined under the Securities Investor Protection Act (SIPA)-and in particular, digital asset securities that are "investment contracts" under the Howey test but are not registered with the Securities and Exchange Commission are excluded from SIPA's definition of "securities"-and thus the protections afforded to securities customers under SIPA may not apply. More information about tZERO Digital Asset Securities may be found on FINRA's BrokerCheck.

About tZERO Securities

tZERO Securities, LLC is a broker-dealer registered with the SEC and a member of FINRA and SIPC. More information about tZERO Securities may be found on FINRA's BrokerCheck.

About B2C2

More than just a liquidity provider, B2C2 is a digital asset pioneer building the ecosystem of the future. The firm has unlocked institutional access to crypto by providing reliable liquidity across market conditions. B2C2’s success is built on crypto native technology and continuous product innovation, making it the partner of choice for diverse institutions globally. Founded in 2015 and majority owned by Japanese financial group, SBI, B2C2 Ltd is headquartered in the UK, with offices in the US and Japan.

About Galaxy

Galaxy (TSX: GLXY) is a global leader in digital assets and data center infrastructure, delivering solutions that accelerate progress in finance and artificial intelligence. Our digital assets platform offers institutional access to trading, advisory, asset management, staking, self-custody, and tokenization technology. In addition, we invest in and operate cutting-edge data center infrastructure to power AI and high-performance computing, meeting the growing demand for scalable energy and compute solutions in the U.S. The company is headquartered in New York City, with offices across North America, Europe, the Middle East and Asia. Additional information about Galaxy’s businesses and products is available on www.galaxy.com

About Wintermute

Wintermute is a global market maker providing liquidity in digital assets. Founded in 2017, Wintermute has established itself as a leading player in the cryptocurrency market, contributing to the development of efficient and liquid markets. With a focus on transparency and integrity, Wintermute plays a vital role in enhancing market accessibility for a diverse range of participants.

About Avalanche

Avalanche is a high-performance blockchain platform designed for builders who need to scale. Avalanche is anchored by its Avalanche Consensus Mechanism, ensuring near-instant finality for transactions. The platform also features a network of networks framework, enabling the seamless creation of customizable and interoperable Layer 1 blockchains with high throughput on both public and private networks.

Supported by a global community of developers and validators, Avalanche offers a fast, low-cost environment for building the next generation of decentralized applications (dApps). With its unique blend of speed, flexibility, and scalability, Avalanche is the preferred choice for innovators pushing the boundaries of blockchain technology.

About U.S. Bancorp

U.S. Bancorp, with more than 70,000 employees and $678 billion in assets as of December 31, 2024, is the parent company of U.S. Bank National Association. Headquartered in Minneapolis, the company serves millions of customers locally, nationally and globally through a diversified mix of businesses including consumer banking, business banking, commercial banking, institutional banking, payments and wealth management. U.S. Bancorp has been recognized for its approach to digital innovation, community partnerships and customer service, including being named one of the 2025 World’s Most Ethical Companies and one of Fortune’s most admired superregional banks. To learn more, please visit the U.S. Bancorp website at usbank.com and click on “About Us.”