2023-09-05 21:11:33
London Stock Exchange adopts blockchain to improve traditional asset trading
BlockTrends – The London Stock Exchange Group (LON:), the London stock exchange, has announced plans for a new digital marketplaces initiative, after exploring the idea for about a year. In this sense, the group is expected to become the first major exchange to use blockchain technology for asset trading.
Thus, Murray Roos, director of capital markets at LSEG, emphasized in an interview with the Financial Times that the focus of the exchange is not on creating something related to cryptoassets. In reality, the aim is to use blockchain technology to improve the transaction process for traditional assets. The idea is to make the process more agile, efficient, cheap and transparent, and also regulated.
“The idea is to use digital technology to make a process more efficient, smoother, cheaper and more transparent… and to regulate it”, he said. As such, the ultimate aim of the London Stock Exchange is to create a global platform that allows participants from all jurisdictions to interact with people in other jurisdictions, while complying with rules, laws and regulations. For example, it would facilitate a situation where a Swiss buyer wants to buy a Japanese asset from an American seller.
Initially, the digital initiative will likely focus on private markets, where transactions are often slow. After proving that the model works in this scenario, the focus will expand to include other types of assets.
Therefore, in recent months, the trend of using blockchain technology in large institutions is gaining momentum. As evidenced by Swift’s successful testing of tokenized asset transfers across multiple blockchains.
London Stock Exchange Embraces Blockchain to Improve Traditional Asset Trading Appears First on BlockTrends – Blockchain News | Investments | Economy.
#London #Stock #Exchange #adopts #blockchain #improve #traditional #asset #trading #BlockTrends