The Depository Trust & Clearing Corporation (DTCC) will use blockchain technology to rebuild a platform that manages $11 trillion worth of credit
The Depository Trust & Clearing Corporation (DTCC) will use blockchain technology to rebuild a platform that manages $11 trillion worth of credit default swaps (CDS), wrote cryptocoinnews.com.
On January 9, DTTC has announced to have selected IBM, Axoni and R3 to re-platform their Trade Information Warehouse (“TIW”). According to dtcc.com, the Warehouse provides lifecycle events processing services for approximately 98% of all credit derivative transactions in the global marketplace.
“We have steered ourselves to the right place at the right time, and today our “One DTCC” vision is allowing us to deliver on an expanded mission to protect the global financial system and create innovative solutions that allow us to support new markets, expanded asset classes and a wider range of clients.”, said DTCC President and CEO Michael Bodson in a letter to shareholders published in mid-2016 and available at http://www.dtcc.com/annuals/2015/pages/ceo-letter.html.
IBM will provide the solution-as-a-service while working toward the switchover to Blockchain technology. Axoni will provide the infrastructure and smart contract applications and R3 will be in the role of a solution advisor, reported cryptocoinnews.com.
Speaking to cryptocoinnews.com, senior vice president at IBM Industry Platforms, Bridget Van Kralingen has said: “As one of the largest and most groundbreaking distributed ledger projects to date in the financial services industry, DTCC together with its member banks are reimagining the credit derivatives process.”
The work on the new platform is expected to start this month. It will be built on Axoni`s distributed ledger software protocol “AxCore”. When ready, the project will be submitted to the open source Hyperledger project, where the solution will go live. The estimated date is early 2021 as reported by cryptocoinnews.com.