Deutsche Börse created a specialized department dedicated to “DLT, cryptocurrency assets, and new market products.”
The German stock exchange together with the international central securities depositories studied the properties of the smart contracts for mobilization of insufficient security of obligations. Also – the creation of a functional prototype for the settlement of transactions with securities on the basis of a blockchain with Deutsche Bundesbank.
Jens Hachmeister, managing director of DLT subdivision, cryptocurrency assets and new market structures at Deutsche Börse said that the stock exchange is currently at the first stage of implementing the blockchain – “ideas and research”. “We have invested in various initiatives to create a clear understanding of trends, technology, and its potential in the traditional segments of our value chain,” he said.
Deutsche Börse continued to work with management companies in providing technical support to the exchange in developing a system for lending securities. Working with the Corda platform of the R3 consortium is another aspect of the work of the exchange.
Deutsche Börse invested in HQLAx and gained two seats on the company’s board of directors, which was taken up by Philippe Seyll – (responsible for securing securities) and Jens Hahmeister (supervises the development of blockchain). “This cooperation will allow us to create a worthwhile blockchain solution for the post-trading space.” Together with like-minded people like HQLAx, we want to create a standardized credit market, “Sayle said.
In May of this year, Deutsche Börse stated that it is considering the launch of cryptocurrency derivatives. However, in the near future, this should not be expected – Deutsche Börse first should assess the volatility of the cryptocurrency market and reduce the risks of price fluctuations, before it can talk about certain products.