New York, NY — Simplex Inc. and Ava Labs have successfully completed a proof-of-concept (PoC) experiment demonstrating that stablecoins can achieve the high availability and low latency required for financial services. By combining Simplex’s stablecoin issuance and redemption system with AvaCloud’s managed blockchain infrastructure, the experiment proved that mission-critical stablecoin networks can be deployed and operated at financial service levels.

Why It Matters

Stablecoins are rapidly gaining attention from financial institutions and enterprises worldwide. Yet, one of the biggest challenges to commercial adoption has been achieving the performance, reliability, and redundancy that financial services demand.

This PoC directly addressed those challenges. The results validated that stablecoin systems, when powered by AvaCloud built with Avalanche technology, can operate with:

• Sub-second latency for payments and remittances

• High throughput 1000 or more transactions per second

• Stable, redundant multi-region configurations without performance degradation

These findings are a breakthrough for institutions exploring stablecoin-based services, from payments and remittances to escrow and beyond.

What Was Tested

The experiment combined Simplex’s financial technology with AvaCloud’s managed blockchain infrastructure:

• Simplex Stablecoin: Used for issuance and redemption, initiating blockchain remittance transactions.

• Simplex Fourth: Provided private key management and transaction signing.

• AvaCloud: Ava Labs’ no-code blockchain infrastructure service, used to deploy a dedicated Avalanche L1 chain within minutes. Peripheral functions like webhooks were leveraged for business logic integration.

• Private Avalanche L1: Delivered high performance and consensus finality across a geographically distributed network while maintaining crucial privacy controls. 
  

Proven Results

The PoC demonstrated stable, financial-grade performance:

• Throughput: 1000 or more transactions per second

• Latency: ~1 second to finality for token remittances

• High Availability: No significant performance loss under redundant, multi-region setups

These results confirm the feasibility of real-time, financial-grade stablecoin payments on AvaCloud-powered infrastructure.

Looking Ahead

With this milestone, Simplex and Ava Labs will continue to collaborate on expanding stablecoin use cases. Future demonstrations will focus on real-world applications such as payments, remittances, and escrow services, driving forward the social and commercial adoption of stablecoins.  This will include showcasing the fully compliant on-chain privacy capabilities essential for institutional adoption and regulatory alignment.

By providing both the infrastructure (AvaCloud + Avalanche L1s) and the business logic (Simplex Stablecoin + Simplex Fourth), this partnership sets the stage for a new era of programmable, low-latency financial systems.

About AvaCloud

AvaCloud is the leading managed blockchain service empowering organizations to effortlessly build, deploy, and scale high-performance decentralized Layer-1 networks. With a no-code platform, automated infrastructure, and enterprise-grade support, AvaCloud enables businesses to focus on innovation without the complexity of blockchain management.

About Simplex Inc. 

Simplex Inc. since its establishment in 1997, Simplex has been a technology partner for leading Japanese financial institutions, including mega-banks and major securities firms. Today, the company leverages the extensive expertise cultivated in the financial sector to provide solutions in other fields as well. In March 2019, the AI company Deep Percept Inc., and in April 2021, the comprehensive consulting firm Xspear Consulting, Inc. joined the group. As a united team, they support the digital transformation (DX) of public institutions, financial entities, and industry-leading corporations. In the web3 domain, Simplex has provided exchange systems and wallets to financial institutions since the early days of crypto assets. It also deploys web3 solutions to diverse fields such as entertainment and manufacturing by leveraging the knowledge and technology gained from financial services development. In May 2024, Simplex announced "Simplex Fourth," a web3 integration platform solution that consolidates its blockchain technology and expertise, and in June 2025, it announced the "Simplex Stablecoin" issuance and redemption system.

About Ava Labs, Inc. 
Ava Labs makes it simple to launch high-performance solutions for web3, based on innovations from Avalanche. The company was founded by Cornell computer scientists who teamed up with Wall Street veterans and early web3 leaders to execute a promising vision for redefining the way people build and use open, permissionless networks. Ava Labs is redefining the way people create value with web3.