The LSE, ASX, and GSX are proactive with the up-to-date technology
The CEO of LSE, named Nikhil Rathi, in one interview which was published on Thursday, said that the LSE noted a few interesting ideas from some rival stock exchanges, and it is going to see which of them would gain market traction before making moves in the space itself.
Some other exchanges were also more proactive with up-to-date technology. The ASX or the Australian Securities Exchange is rebuilding its own aging CHESS settlement system with some help from the distributed ledger startup called Digital Asset.
Moreover, the GSX or Gibraltar Stock Exchange in a statement from recent times stated that it started permitting the listing of tokenized funds, bonds, as well as securities. While the top stock exchange of Switzerland, the SIX, also has the purpose of launching a blockchain platform to speed up the trading later during 2019.
Other exchanges announced their initiatives around blockchain and digital assets
Some other different stock exchanges, which include Spain, Thailand, and Jamaica, have also announced their initiatives around digital assets and blockchain technology.
Maybe hinting at some areas in which the LSE might be eyeing the tech, the Ceo of the London Stock Exchange said that people can now see DLT or distributed ledger technology being applied in the issuance process. He also said that he can see the technology which is utilized in the settlement.
Earlier in 2019, the LSE Group led the $20 million seed funding round for Nivaura, which is a capital markets blockchain startup. Rathi even joined the board of the startup at that particular time.
Nivaura has the purpose of automating the whole circle for the issuance of financial instruments such as equities, bonds, and derivatives, with the use of blockchain technology.
LSE and Nivaura working on tokenized securities
The LSE Group worked together with Nivaura on the problem of tokenized securities that forms part of the regulatory sandbox program of the FCA or Financial Conduct Authority of the United Kingdom.
In one related effort from April 2019, blockchain startup 20|30 raised about £3 million, which is $3.93 million, in the sale to the tokenized shares IB one test environment on the platform operated by the LSE Group.
For the moment, the stock exchange actually seems not to rush in order to make any direct use of the technology.