Dinari, a cryptocurrency-based service provider for public securities, is embarking on a significant endeavor by launching its own blockchain. This new system, named the Dinari Financial Network, will act as a coordination and settlement platform for securities issued on various existing networks such as Arbitrum and Solana.
Key Information:
- Dinari aims to facilitate trading of tokenized public securities, enhancing efficiency similar to the role of the Depository Trust & Clearing Corporation (DTCC) in traditional finance.
- This initiative aligns with the trend of companies like Circle and Stripe creating proprietary blockchains.
- Currently, their test network is operational, with public access expected shortly.
The launch reflects the ongoing trend in the financial sector, where tokenization of equities offers the potential for enhanced trading opportunities around the clock, expedited settlements, and lowered transaction costs.
Gabe Otte, CEO of Dinari, stated, “This is going to be the foundational infrastructure for our settlement and clearing system, which has up to this point predominantly happened off-chain.” He also mentioned that having their own chain was crucial as many public chains do not permit the necessary level of compliance for dealing with securities.
By consolidating functionalities across different blockchains without compromising liquidity, Dinari seeks to transform the landscape of U.S. equities trading, positioning itself akin to the DTCC.
