SIX To Launch Digital Asset Trading, Clearing and Custody Service
- The Swiss group plans to launch its Swiss Digital Exchange in mid-2019
SIX Group, the owner of SIX Swiss Exchange (SIX), announced on Friday that it is in the process of building a “digital asset” trading, settlement, and custody service. Essentially a euphemism for “cryptocurrency exchange with settlement and custody solutions,” the new service represents a significant move as an established institutional player enters what has been, up until now, a market largely dominated by retail players.
The new service is going to be called Swiss Digital Exchange (SDX) and, when it launches next year, will be operated by SIX. As with SIX, SDX will be regulated as an operator of Financial Market Infrastructure (FMI) under the auspices of the Swiss Financial Market Supervisory Authority and the Swiss National Bank.
This will be music the ears of many in the cryptocurrency space, who are always on the lookout for official seals of approval. Perhaps more importantly, the cryptocurrency industry has been moving away from its anti-authority roots and towards regulatory regimes that ensure investors can feel secure when they trade.
Distributed ledger
SDX will operate using “distributed ledger technology” which appears to be a euphemism for “Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Read this Term.” As the latter word may be the most annoyingly overused phrase in the financial services industry today, SIX’s semantic decision is understandable.
The new technology will also enable the “tokenization” of existing securities as well as “non-bankable assets.” SIX claims that this will enable investors to start trading assets that, previously, they wouldn’t have been able to trade.
Commenting on the launch of the new technology, Jos Dijsselhof, CEO of SIX Group, said: “SIX is in a unique position in that it runs the entire securities and Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl Read this Term value chain for Switzerland already, and is ideally positioned to create the digital ecosystem for the future, allowing existing and new market participants to develop their business models for the opportunities available in this new environment.”
SIX Group, the owner of SIX Swiss Exchange (SIX), announced on Friday that it is in the process of building a “digital asset” trading, settlement, and custody service. Essentially a euphemism for “cryptocurrency exchange with settlement and custody solutions,” the new service represents a significant move as an established institutional player enters what has been, up until now, a market largely dominated by retail players.
The new service is going to be called Swiss Digital Exchange (SDX) and, when it launches next year, will be operated by SIX. As with SIX, SDX will be regulated as an operator of Financial Market Infrastructure (FMI) under the auspices of the Swiss Financial Market Supervisory Authority and the Swiss National Bank.
This will be music the ears of many in the cryptocurrency space, who are always on the lookout for official seals of approval. Perhaps more importantly, the cryptocurrency industry has been moving away from its anti-authority roots and towards regulatory regimes that ensure investors can feel secure when they trade.
Distributed ledger
SDX will operate using “distributed ledger technology” which appears to be a euphemism for “Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Read this Term.” As the latter word may be the most annoyingly overused phrase in the financial services industry today, SIX’s semantic decision is understandable.
The new technology will also enable the “tokenization” of existing securities as well as “non-bankable assets.” SIX claims that this will enable investors to start trading assets that, previously, they wouldn’t have been able to trade.
Commenting on the launch of the new technology, Jos Dijsselhof, CEO of SIX Group, said: “SIX is in a unique position in that it runs the entire securities and Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl Read this Term value chain for Switzerland already, and is ideally positioned to create the digital ecosystem for the future, allowing existing and new market participants to develop their business models for the opportunities available in this new environment.”