The Depository Trust and Clearing Corporation (DTCC), the world’s largest securities settlement system, is pushing deeper into crypto by introducing a blockchain-based platform for tokenized collateral management.
Key Points:
- The new platform seeks to enhance efficiency and real-time operations by utilizing smart contracts for automated collateral management, addressing inefficiencies in traditional systems.
- It will be showcased at an industry event on April 23, where DTCC plans to collaborate with regulators on global standards for tokenized collateral.
“Collateral mobility is the ‘killer app’ for institutional use of blockchain,” said Dan Doney, Chief Technology Officer of DTCC Digital Assets. “By using smart contracts to automate the full range of collateral operations, we enable complex trade execution across markets in real-time, even during volatile conditions.”
DTCC aims to create a more open, flexible, and comprehensive platform than previous initiatives. The rise of tokenization has become an increasingly important application for blockchain technology, with financial giants such as BlackRock and Fidelity exploring its benefits, including improved efficiency and faster settlements.
