u/oak1337

DBSec is an annual international conference covering research in data and applications security and privacy. The 40th Annual IFIP WG 11.3 Conference on Data and Applications Security and Privacy (DBSec 2026) will be held in Arlington, Virginia, USA, from July 28 to July 30, 2026.

The International Federation for Information Processing (IFIP) is a global non-profit umbrella organization of societies of ICT professionals that aims to achieve worldwide professional and socially responsible development and application of information and communication technologies.

https://dbsec2026.gmu.edu/

Source:

https://x.com/i/status/2082097625185300518

To understand the Archax perpetual US T-Bill offering, $GOVY, you need to understand our dual-layer token structure. This structure is what allows $GOVY to simultaneously offer direct beneficial ownership, automated rolling, 24/7 settlement and on-demand actual delivery of the underlying Treasury Bill tokens - all in a single on-chain token.

What is an Archax ‘Pool Token’?

The Archax ‘pool token’ structure is basically an outer token that can hold one or more inner tokens that represent underlying assets, allowing investors to gain ownership of multiple assets through a single token.

In $GOVY’s case, the inner token holds underlying tokenised short-dated US Treasury Bills. $GOVY is therefore always just the inner US T-Bill plus the instruction to roll at maturity. When you hold $GOVY, you have direct ownership of those real, identifiable, underlying T-Bills, with proof of reserves published on-chain.

Your interest is real, legally enforceable and verifiable at any time.

Why this token structure?

This Archax token structure is what makes $GOVY's two headline features possible: automated rolling and 24/7 instant settlement.

Automated Rolling

$GOVY uses short-dated US Treasury Bills as its only underlying asset. Those T-Bills mature. In a direct ownership model without this structure, maturity would force every individual holder to actively manage their own rollover - participate in the next auction, settle the new T-Bill and re-establish their position.

That defeats the purpose of holding a simple on-chain treasury holding.

Because $GOVY uses this token structure, the roll happens at the inner token level, i.e. when the current T-Bill matures, it is automatically replaced by the next short-dated T-Bill. So, all $GOVY holders maintain continuous ownership - their token value accumulates the yield of successive T-Bills without any action required on their part.

The structure manages the roll. You manage nothing.

Instant Subscription and Redemption

Traditionally, direct T-Bill ownership involves T+1 or T+2 settlement and is constrained to market hours. If you want to buy T-Bills directly, you do so through an auction process or secondary market, not instantly and not at midnight on a Sunday.

The Archax token structure is designed to support continuous subscriptions and redemptions, 24/7, with instant settlement. You subscribe or redeem using eligible stablecoins, and $GOVY is yours immediately. The underlying Treasury Bill purchases happen behind the scenes at the infrastructure level.

How yield accumulates

The value of $GOVY is not fixed at $1.00. Unlike a stablecoin or a rebasing instrument, $GOVY accumulates yield through price appreciation. Each successive T-Bill added carries its yield. As bills mature and roll, the value of each $GOVY token increases to reflect accumulated yield.

In fact, the value of $GOVY is just the price of the underlying T-Bill multiplied by the ‘T-Rep’ factor – which represents how many T-Bills each $GOVY has beneficial entitlement to.

This means the longer you hold $GOVY, the more each token is worth. There is no distribution mechanism, no rebasing, no yield payment requiring separate settlement. Yield is embedded in the token value. You capture it when you sell or redeem.

The ‘Breaker Function’

This is the feature that makes $GOVY unique in the tokenised treasury market. Every other comparable product offers one exit path: redeem for fiat or stablecoins at the fund’s NAV. $GOVY is not a fund and offers two exits:

Exit Path 1: Standard Redemption

Redeem your $GOVY tokens at their current value (underlying T-Bill price x T-Rep factor) for fiat currency or stablecoins.

Fast, simple, and will be available 24/7 with stablecoins.

Exit Path 2: The Breaker Function

$GOVY holders can invoke the Breaker and exit directly to the underlying T-Bills - bypassing fiat/stablecoin conversion entirely and taking direct delivery of their Treasury Bills that underlie the $GOVY position.

This matters for several reasons:

For prime brokers and collateral managers, it means $GOVY can be held as a liquid proxy for T-Bills and converted to the actual T-Bill when needed for settlement or margin purposes.

For institutions with direct T-Bill mandates, it means they can hold $GOVY for its operational convenience and convert to T-Bills for their own reporting or compliance purposes without losing their underlying asset ownership.

For DeFi protocols that want to accept T-Bill tokens as collateral directly, $GOVY holders can deliver the actual T-Bill in token form.

What the token structure means for legal ownership

A common concern about tokenised assets is whether they dilute legal ownership rights. In $GOVY's case, the answer is no. The $GOVY token is structured under UK trust law, with the underlying T-Bills held in an insolvency-remote custody arrangement.

Each $GOVY token represents a legally enforceable beneficial entitlement to the underlying Treasury Bills. Archax does not have access to the underlying assets for its own purposes. The underlying T-Bills are ring-fenced within this bankruptcy-remote trust structure.

You are not a creditor of Archax in respect of your $GOVY position. You are the direct beneficial owner of the underlying T-Bills.

This is precisely the legal protection that fund structures and SPVs do not offer. When you hold a fund share, you are an investor in a fund. When you hold an SPV note, you are a noteholder of a special purpose vehicle. When you hold $GOVY, you are the beneficial owner of your underlying Treasury Bills.