In what is being considered to be a monumental step forward for the crypto industry as a whole, the Australian Stock Exchange (ASX) is all set to become the world’s first DLT enabled stock exchange.
Currently, there are more than 10 blockchain-based business outfits that are already listed on the ASX, with the newest addition being ASX Limited (ASX: ASX) itself.
What is the ASX planning moving forward?
Over the past year or so, the ASX has been a regular feature within the global news circuit, especially since the exchange has been preparing to implement its trailblazing technology that has yet to be used by any other financial market across the globe.
Even though Nasdaq and other big-name players have taken nascent steps towards adopting blockchain technology, ASX is leading the charge and promises to revolutionize the way in which financial trades are facilitated globally.
With the introduction of Blockchain technology within Australia’s existing financial framework, one can expect to see a lot of positive changes moving forward. Some of the key benefits that will be delivered thanks to this technology include:
Better supply-chain management.
Improved record keeping efficiency.
Enhanced cryptocurrency management.
More on the Matter
Elaborating on ASX’s stance towards cryptocurrencies, the company’s CEO Dominic Stevens said that the point of this entire operation was to “introduce more efficiency and transparency within an otherwise murky market segment”.
Stevens then went on to add that the decision to incorporate DLT was done primarily in order to reduce the ”risk, cost and complexity of Australia’s stock market, as well as to prepare it for cutting-edge service innovation, and, ultimately, unleash service innovation across an ecosystem of interconnected users.”
Lastly, he said that with the introduction of DLT, the ASX will effectively eliminate its need for ‘periodic reconciliation’ since market investors will be able to procure market information in real-time without having to ask the ASX.
According to a spokesperson, the ASX has been actively working on developing its DLT enabled system for over three years. Once completed, the platform will serve as the world’s first industrial-scale application of DLT within a critical financial market infrastructure.
While the feasibility and success of this new system remains to be seen, a step such as this definitely showcases the true potential of blockchain technology.