Britain`s Royal Mint and Chicago-based CME Group, a derivatives marketplace, have tested a trading platform based on blockchain technology. Bitcoin
Britain`s Royal Mint and Chicago-based CME Group, a derivatives marketplace, have tested a trading platform based on blockchain technology.
Bitcoin start-up BitGo and blockchain company AlphaPoint are helping the CME Group to develop the open-source blockchain.
“Distributed ledger technology is a game changer and supplying gold on a blockchain has been something The Royal Mint has wanted to develop for some time.”, said Vin Wijeratne, CFO of the Royal Mint.
As Sandra Ro, head of digitization at CME Group explained, the new blockchain-based product is an entire trading eco-system for gold. It is said to provide speed, security and transparency of direct ownership, she elaborated.
“An RMG is a digital representation of real gold sitting in the Royal Mint vaults.”, Ro stated.
“This is the first digital gold product that is institutionally targeted – and the first to work with a government entity – to be currently in a live testing state.”, she added.
In an effort to making distributed ledger technology as effective as possible, the Royal Mint wants to release it as open source code ahead of its launch, as Ro commented.
Blockchain security company BitGo has worked along with AlphaPoint on the architecture, rules and parameters of the blockchain.
“This trading platform will provide a high performance and secure venue to buy and sell RMGs. We are excited by the response so far and welcome new financial institutions to engage for an early look.”, said Igor Telyatnikov, President & COO of AlphaPoint as quoted by openmarkets.cmegroup.com.
Mike Belshe, CEO of BitGo, said that the multi-signature Bitcoin wallet that his company released, would be the core of the security technology for RMG.