$11 Trillion Bet: DTCC to Clear Derivatives With Blockchain Tech
The Depository Trust & Clearing Corporation (DTCC) has selected a series of firms to help integrate distributed ledger technology into its first large-scale, real-world application. In the single, complex deal involving a distributed ledger consortium, a stock exchange, a tech startup, a legacy computer firm and an international collection of bulge bracket banks, the post-trade financial services company has begun the process of moving a significant part of its $1.5qn-worth of transaction workflow to a distributed ledger network. With a contract announced today, IBM will help manage....
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Digital currency startup Ripple Labs has appointed Donald Donahue, former CEO of the Depository Trust & Clearing Corporation (DTCC) as an advisor to the company. DTCC is the main clearing house for US securities and derivatives, processing more than $1.6 quadrillion in transactions per year. In his role as COO and then CEO, Donahue is thought to have led the DTCC's efforts in stabilising the financial system following the 2007-08 market crash. Donahue said in a company statement:
The Wall Street companies may soon start using blockchain technology based services provided by DTCC. Blockchain technology in banking and fintech is not a new thing. The sector has been working on implementing the distributed ledger technology into its operations for more than a year now. As they make progress, the Wall Street clearinghouse has decided to hop on the bandwagon by adopting blockchain technology. According to reports, Depository Trust and Clearing Corporation – DTCC has announced its intentions to start using Blockchain technology on a trial basis. DTCC is a leading firm....
Depository Trust & Clearing Corp. (DTCC), a firm at the center of Wall Street’s trading infrastructure, is about to launch an important test of distributed ledger technology: seeing whether it can provide workable solutions for the $2.6 trillion repo market, The Wall Street Journal reports. DTCC will collaborate with Digital Asset Holdings for planning and running the test. Earlier this year, DTCC participated in a $52 million funding round for Digital Asset Holdings, with other investors including JP Morgan, Citi, Accenture, CME Group and ASX, the company behind Australia’s stock....
The Depository Trust & Clearing Corporation (DTCC) hosted a group of regulators and members of the financial industry in Washington, DC, for a discussion on blockchain tech last month. The event, held on Capitol Hill, was designed by the DTCC to give regulators and other financial industry stakeholders a chance to ask questions directly to blockchain experts. In a blog posted yesterday, DTCC managing director Mark Wetjen said of the event: "It is important that we engage policy makers and regulators from the beginning of this process. New technologies are creating tremendous....
We caught a glimpse last week of how blockchain tech will go mainstream. Not, it won't be through killer apps developed by startups, consortia rolling out a consensus solution or breakthroughs in privacy or security. Rather, it appears it will happen when large incumbents roll out blockchains in existing processes. That may not sound exciting, but it is as big a deal (or at least, as big as we're going to get in the short term). But, we need to remember that financial institutions are not generally known for their flamboyance or risk taking. And we need to bear in mind that only the....