Though blockchain technology has substantial capabilities to automate the processing for many types of securities, TABB Group discusses how in order for the public blockchain to replace the core processing for equities, sovereign debt, or other liquid products, many massive and in some cases seemingly insurmountable challenges need to be overcome.
NEW YORK & LONDON, February 22, 2016 – The interest in blockchain from the financial community has been tremendous. Ambitions for decentralizing trust, greater transactional transparency, an immutable record, compacting settlement periods, and the freeing up of capital while reducing settlement counterparty risk has many both outside and inside the industry salivating.
While the idea of moving to real-time settlement is especially intriguing, firms must first understand the industry’s fears before re-engineering the current processes. In TABB Group’s latest research, “Blockchain Clearing and Settlement: Crossing the Chasm”, TABB CEO Larry Tabb explains that details over informational leakage, how the securities lending and foreign exchange markets operate, as well as what actually occurs in the clearing process today, must be addressed before the industry begins restructuring firms’ processing facilities with blockchain technology.
The TABB report illustrates how the challenges for blockchain adoption align by market segment across institutional investors, retail investors, custodians and investment banks, and highlights the need to overcome the practical aspects of ownership, securities lending, foreign exchange, block allocations, the processing of physical securities, fractional ownership, and current clearing, netting and settlement practices, not to mention the modification and rebuilding of firms’ internal technology. Tabb says:
“While some issues are significant to particular market slices, they may be non-issues for others, and things that may appear easy from the outside, may actually be very challenging.
For example, streamlining the allocations process may appear simple from a brokerage or custodian perspective, but problematic for investors; conversely, clearing and netting is a non-issue for investors while challenging for banks and brokers.”
The blockchain has substantial capabilities to automate the processing for many types of securities; however, Tabb concludes that in order for the public blockchain to replace the core processing for equities, sovereign debt, or other liquid products, many massive and in some cases seemingly insurmountable challenges need to be overcome.
The 20-page, 9-exhibit report is now available for download by TABB financial technology and equities clients, as well as pre-qualified media at https://research.tabbgroup.com/search/grid. For more information or to purchase the report, contactinfo@tabbgroup.com
Press Contact
TABB Group
Casey Sheets, +1 646-747-3207
csheets@tabbgroup.com
NOTE: This is a press release, the product / service is not endorsed by The Merkle.
If you liked this article follow us on Twitter @themerklenews and make sure to subscribe to our newsletter to receive the latest bitcoin and altcoin price analysis and the latest cryptocurrency news.
Awesome!
The blockchain has substantial capabilities to automate the processing for many types of securities.
generic tadalafil: http://tadalafilonline20.com/ generic tadalafil united states
overseas pharmacies shipping to usa: https://genericwdp.com/ generic pills for ed
india pharmacy drugs meds online without doctor prescription
viagra from india best place to buy viagra online
online doctor prescription for viagra
viagra online usa viagra 100mg price
best place to buy generic viagra online
100mg viagra buy generic 100mg viagra online
viagra cost
mexican viagra where to buy viagra
online doctor prescription for viagra
best place to buy generic viagra online cost of viagra
how much is viagra
viagra from canada viagra cost
100mg viagra
http://diflucanfavdr.com/ – diflucan 150
over the counter erectile dysfunction pills
http://paxil100.com/ – paxil cr generic
foods for ed
amoxicillin tablets in india: generic amoxil – amoxicillin online pharmacy
https://lasixst.com/# lasix 100mg