Announced earlier this year DTCC announced the acquisition of Securrency, a blockchain firm that seeks to provide digital security infrastructure. The purchase has now closed, and the subsidiary is now known as DTCC Digital Assets.
Securrency was founded as Fintech/Regtech platform designed to pair capital to investments, bringing liquidity to previously illiquid asset classes. Securrency now aims to enable tokenization or the digitization of public and private securities. DTCC said the added capabilities will allow them to partner with the industry to “build a resilient and scalable infrastructure critical to the mass adoption of digital assets.”
“Together, we will unlock opportunities to reimagine compliance, liquidity, efficiency and interoperability in trading real-world assets on the blockchain.”
DTCC highlighted the aim of providing digital post-trade infrastructure as it seeks to maintain relevance in the Fintech reality of digital assets.
DTCC Digital Assets will be led by Lynn Bishop, Managing Director and Chief Information Officer of DTCC.
DTCC CEO Frank La Salla said they are excited to combine people and expertise to help unlock the value of digital assets and “drive market-wide transformation.”
“We look forward to providing global leadership to establish a robust digital infrastructure that protects the safety and soundness of financial markets and delivers on the enormous promise and potential of institutional DeFi in the coming years.”
At the time of the acquisition announcement La Salla said by acquiring Seccurency they will gain the technology to enable end-to-end digital lifecycle processing for “tokenized assets, digital currencies, and other financial instruments.”
Just about everyone expects previously analog securities to become digital in the coming years. While the predictions have been numerous for years that the time is now for digital assets to lap traditional securities, the transformation has taken far longer than many pundits anticipated. Digital assets, including digital securities, can streamline tedious back-office activity and automate processes, removing friction from markets. DTCC handles trillions of dollars of transactions every year globally, so digitization may drive profound efficiencies if incorporated correctly.