Miguel Lopez In a recent announcement, the Depository Trust & Clearing Corp., widely recognized as DTCC, has successfully acquired the digital asset infrastructure company, Securrency. As part of this acquisition, Securrency is set to undergo a rebranding and will soon be known as “DTCC Digital Assets.” Looking towards the future, DTCC has articulated its intention to leverage blockchain technology to seamlessly integrate digital assets into its existing suite of products and services.
Securrency’s Integration into DTCC; A Stride Forward in DTCC’s Blockchain Strategy
DTCC has undertaken a significant stride into the blockchain arena with its acquisition of Securrency, a startup specializing in distributed ledger technology and digital assets. It has been reported that this acquisition was completed at a cost of approximately $50 million.
DTCC stands as the largest clearing and settlement entity in the United States, holding central custody of over 1.4 million active securities with a collective value amounting to an impressive $87.1 trillion. In an official statement on its website, Securrency highlighted this acquisition and underscored DTCC’s objective to revamp certain operational models through the introduction of innovative digital asset services. Notably, Wisdomtree employs Securrency’s software within its Wisdomtree Prime product.
Nadine Chakar, CEO of Securrency, emphasized, “This will enable DTCC to collaborate with the industry to create a robust and scalable infrastructure essential for the widespread adoption of digital assets. Together, we can explore new ways to improve compliance, liquidity, efficiency, and interoperability when trading tangible assets on the blockchain.” Ms. Chakar’s subsequent role at DTCC Digital Assets will be that of Global Head and Managing Director.
DTCC joins a growing roster of financial heavyweights embracing distributed ledger technology. Just recently, Mastercard introduced a solution designed to enhance the functionality of central bank digital currencies (CBDCs), facilitating their transfer via alternative blockchain networks. EY, on its part, launched a blockchain tool named Reconciler, which is now utilized by Fidelity Digital Assets. It’s worth noting that this isn’t DTCC’s initial venture into the realm of distributed ledger technology.
In 2016, DTCC collaborated with the Linux Foundation and the Hyperledger project, backed by Blythe Masters’ Digital Asset Holdings. The leading clearing and settlement institution was one of more than 30 financial entities eager to participate in blockchain pilot initiatives.
Frank La Salla, President, CEO, and Director of DTCC, remarked on October 19, “Securrency is an important strategic acquisition that will furnish us with the technology needed to catalyze market-wide transformation by enabling end-to-end digital lifecycle processing for tokenized assets, digital currencies, and other financial instruments.”
We invite you to share your insights and perspectives on the acquisition of Securrency by the Depository Trust & Clearing Corp. in the comments section below.
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Frequently Asked Questions (FAQs) about Blockchain Integration
What is the Depository Trust & Clearing Corp. (DTCC)?
The Depository Trust & Clearing Corp., known as DTCC, is the largest clearing and settlement company in the United States. It holds central custody of over 1.4 million active securities with a combined value of $87.1 trillion.
Who is Securrency, and what do they specialize in?
Securrency is a digital asset infrastructure company that was acquired by DTCC. They are known for their expertise in distributed ledger technology and digital assets.
What does the acquisition of Securrency mean for DTCC?
The acquisition of Securrency by DTCC signifies a strategic move into the blockchain sector. DTCC intends to use blockchain technology to integrate digital assets into its existing products and services.
How much did the acquisition of Securrency cost?
The acquisition of Securrency by DTCC reportedly cost approximately $50 million.
What role will Nadine Chakar play in DTCC Digital Assets?
Nadine Chakar, the CEO of Securrency, will assume the position of Global Head and Managing Director at DTCC Digital Assets.
Has DTCC been involved in blockchain technology before?
Yes, DTCC has been active in the blockchain space. In 2016, they collaborated with the Linux Foundation and the Hyperledger project, participating in blockchain pilot initiatives.
What are some examples of other financial institutions adopting blockchain technology?
Other financial institutions, such as Mastercard and EY, have also embraced blockchain technology. Mastercard introduced a solution for central bank digital currencies (CBDCs), while EY launched a blockchain tool called Reconciler, utilized by Fidelity Digital Assets.
