SIX Digital Exchange (SDX) has selected R3’s Corda Enterprise to provide the underlying blockchain technology for its digital asset listing, trading, settlement and custody service.
The Swiss stock exchange announced its new venue in July 2018, an integrated infrastructure for the digital asset value chain, addressing the divide between existing trading and post-trade activity and the emerging frameworks for the burgeoning crypto investment environment.
R3’s technology will provide the platform for SDX’s fully integrated end-to-end trading, settlement and custody service for digital assets.
“As a highly regulated and trusted financial market infrastructure provider, SIX must operate at the highest levels of security and stability,” said Sven Roth, member of the management team at SDX. “We felt Corda Enterprise was the best fit for the scale and breadth of service we envisage with SDX.”
“We are building the future exchange for digital assets, so the ability to adapt and evolve the ecosystem over time is crucial. R3’s wide developer community, open-source code base and experience across a range of industries make it ideal for this purpose.”
Despite having members come and go during its lifespan, R3 is widely used across the financial markets to build new systems and processes using its underlying blockchain technology.
Along with a group of its members, R3 and new collateral mobility firm HQLAx have created a tokenised lending offering for liquidity transfers.
Some of R3’s members include: ABN AMRO, Barclays, BNP Paribas, Citi, Commerzbank, Credit Suisse, CS Affiliates, Deutsche Bank, HSBC, Natixis, RBC, SocGen and UBS.
“Representing assets as tokens on a blockchain platform is one of the most impactful applications of the technology and a key focus for R3,” said David E. Rutter, CEO and founder of R3. “SDX is pioneering this development and, as a blockchain platform machine-tooled for regulated, enterprise environments, Corda is the perfect partner for the project. This is an important vote of confidence in R3’s technology to deliver results and build a more efficient market environment.
“By enabling capital market transactions on a decentralised ledger, not only can SDX reduce costs for investors, but also enable the trading of some assets for the first time. This will have a huge impact for investors, providing new opportunities for capital and creating more effective markets.”