Calastone to launch blockchain-powered funds marketplace
Fund transaction network Calastone plans to move its entire network to blockchain in May 2019 via its new distributed market infrastructure (DMI).
The migration is a “world-first” and a “significant” step for the digitalising of the funds sector. The DMI creates a marketplace in which buyers and sellers can connect and transact.
Campbell Brierley, Calastone’s chief innovation officer, comments: “By bringing all trading relationships together, within our shared blockchain-enabled infrastructure, all participants benefit through the real-time view of each record and powerfully, from a data perspective, a single version of the truth.”
He adds that this alleviates common friction points such as reconciliation and settlement.
Calastone believes that the overall global cost of fund distribution could be reduced by as much as £3.4 billion, achieved through the “technological mutualisation of the trading and settlement processes”.
The firm is headquartered in London and has offices in Luxembourg, Hong Kong, Taiwan, Singapore and Sydney.