Blockchain technologies have become an indispensable part of the financial industry. They are increasingly being used as an alternative to classic currencies and are also being used for a whole range of other tasks.
The basic principle of blockchains is distributed ledger technology, which enables distributed data storage in peer-to-peer networks. This decentralized data storage offers numerous advantages that make DLT particularly interesting for capital markets.
- Consensus-based mechanisms that enable the single-source-of-truth principle.
- High resilience and tamper resistance of data due to distributed infrastructure.
- High potential to increase efficiency by reducing manual intervention.
- High potential for developing new business models, products and services.
- Enabling cryptocurrencies as a new asset class including trading, clearing, settlement and custody.
- Creating new platforms to transform existing processes: from digital debt issuance to platforms for post-trade processes for OTC derivatives.
- Redesign of existing processes in the area of decentralized finance.