Deutsche Börse Group, one of the world’s largest exchange organizations, plans to develop a system based on the blockchain for lending securities.
According to a statement issued Monday, Deutsche Börse plans to develop a system that can offer a more efficient securities settlement, and will benefit from technical support from the management company HQLAX and the blockchain platform Corda consortium R3.
In a statement the exchange said that this step is caused by the fragmentation of the global securities market, which are high operating costs and reduced liquidity calculations.
«These assets are in high demand due to the introduction of regulation for banks associated with liquidity, mandatory clearing and margin requirements for OTC derivatives markets», — stated in the press release of the exchange.
Stroemer Guido (Guido Stroemer), CEO HQLAX, commented:
«Our goal is to mobilize the liquidity pools of collateral obligations that are currently at various Depository accounts around the world.»