Violet's Mauve DEX Launches, Enabling Trading of Compliant Real-World Assets
Mauve, a decentralized exchange (DEX) designed for trading compliant and real-world assets, has officially launched today, as announced in a recent press release. What sets this DEX apart is its status as one of the pioneering non-custodial exchanges approved as a virtual asset service provider (VASP) by the Cayman Islands Monetary Authority. Mauve primarily caters to asset issuers seeking robust compliance measures and controls, fostering the creation of secondary markets for on-chain or tokenized real-world assets, such as fixed income securities.
Decentralized exchanges, or DEXs, operate as blockchain-based platforms that facilitate the exchange of digital assets among users. In contrast to centralized exchanges, DEXs enable users to trade without relinquishing custody of their assets, thus safeguarding them against potential misappropriation – a critical aspect of decentralized finance (DeFi). Mauve's development was prompted by the repercussions of the centralized crypto exchange FTX's collapse.
Mauve operates under the umbrella of Violet, a compliance and identity infrastructure platform dedicated to the DeFi space. Violet boasts backing from prominent entities like the digital assets unit of hedge fund powerhouse Brevan Howard and the venture capital arm of renowned crypto exchange Coinbase (COIN). DeFi encompasses various financial activities, including lending and trading, all conducted on a blockchain without the involvement of traditional intermediaries.
Markus Maier, one of Mauve's co-founders, expressed their vision for the future of finance, asserting, "We believe the future of finance is on-chain." He emphasized that the cornerstone of their approach is Violet, a programmable compliance infrastructure tailored to the specific requirements of real-world asset issuers and institutional buyers.