Alchelyst & Allfunds Blockchain launch private markets API

Alchelyst has partnered with Allfunds Blockchain to launch an API for private markets transaction processing, aimed at automating investor order workflows between the two groups.

The Alchelyst × Allfunds Blockchain API is designed to replace manual transfer agency processing with straight-through processing for subscriptions, redemptions and switches. It also supports real-time data exchange between Alchelyst's Aurum platform and Allfunds' blockchain infrastructure.

The move addresses a longstanding operational issue in private markets, where back-office processes have often remained fragmented and labour-intensive. As managers widen distribution and handle larger volumes of investor activity, those manual workflows have become harder to sustain.

Private markets groups have typically faced more operational complexity than firms in traditional asset classes. Order handling, reconciliations and communication between fund operations and distributors often involve repeated manual intervention, increasing the risk of errors and slowing transaction processing.

By linking its Aurum platform to Allfunds' blockchain-based system, Alchelyst says general partners will gain a direct connection to the Allfunds distribution network. The companies say this route is intended to reduce administrative back-and-forth and give managers a more standardised process for handling investor transactions.

Allfunds is a large business-to-business fund distribution platform, and the partnership places Alchelyst within that broader distribution infrastructure. For private markets managers, access to established distributor networks has often required bespoke operational arrangements and significant internal resources.

Operational focus

The API is intended to cut errors by removing manual steps from transaction handling. It is also meant to create a more scalable process for core order types, including subscriptions, redemptions and switches, which are central to fund administration and investor servicing.

That focus on process automation reflects a broader shift across private markets operations. Managers face rising pressure from investors and intermediaries to provide smoother onboarding, cleaner data exchange and faster transaction handling, especially as the asset class attracts a wider pool of capital.

Technology suppliers and service providers have increasingly tried to close that gap by linking fund operations more closely with distribution systems. The rationale is that private markets, despite strong investor interest, have often lacked the operational standardisation seen in more established public fund channels.

Alchelyst framed the partnership as part of that wider push to modernise the infrastructure behind fund operations. The company describes itself as an investor solutions and infrastructure partner for private markets asset managers.

Will Callaghan, Head of Product at Alchelyst, said the arrangement is intended to help clients extend distribution access without having to build those links on their own.

"Our focus is on building the infrastructure for modern private markets that enables GPs to scale," said Will Callaghan, Head of Product at Alchelyst.

"Through this partnership with Allfunds Blockchain, Alchelyst clients gain distribution reach that would typically require significant investment to build independently," Callaghan said.

Distribution link

For Allfunds Blockchain, the deal adds another operational connection between fund distribution and private markets administration. The company said the collaboration shows how workflow automation can be applied to areas that have traditionally relied on paper-based or manually updated processes.

One of the central claims behind the integration is that tighter links between distributors and fund operations can reduce friction in a market where investor demand is growing. Private markets managers have been under pressure to accommodate more participants while maintaining service standards and operational control.

The partnership was also presented as a step towards a broader infrastructure build-out for the sector. The companies argue that more connected systems will be needed if private markets are to handle increased volumes and more complex distribution patterns without adding layers of manual administration.

Rubén Nieto, Managing Director at Allfunds Blockchain, said the integration expands what fund managers can do when those systems are connected.

"Our collaboration with Alchelyst shows what becomes possible when distribution infrastructure and fund operations are fully connected," said Rubén Nieto, Managing Director at Allfunds Blockchain.

"By automating workflows that have historically relied on manual intervention, GPs gain a direct digital route to one of the largest distributor networks in the world, and the private markets industry gets the operational foundation it needs for its next phase of growth," Nieto said.