The Swiss Stock Exchange (SIX) plans a blockchain-based infrastructure for trading as well as for the settlement and safekeeping of crypto by mid-2019. The announcement was made on July 6. According to the stock exchange representatives, this move seeks to open a door for capital market infrastructures.
Switzerland once again lives up to its pro crypto image. On July 6, 2018, the Swiss stock exchange SIX announced that it intends to build a fully integrated trading, settlement, and custodial infrastructure for cryptocurrencies. As an operator of the Financial Market Infrastructure of Switzerland, FINMA, and the Swiss National Bank, SIX is adequately regulated. Thus, the planned “Digital Asset Ecosystem” – SIX Digital Exchange (SDX) – should also be supervised and regulated.
The SIX Digital Exchange already operates the entire value chain for securities and payments in Switzerland. By leveraging its vast experience in the financial markets, the stock exchange wants to venture into the cryptocurrency domain. Thomas Zeeb, Head of Securities & Exchanges, believes that SIX is very prepared for this task:
As the stock exchange infrastructure for Switzerland, we know what it takes to build and run mission-critical and scalable, systemically important services.
With this knowledge, it now wants to be the first market infrastructure to offer a fully integrated, end-to-end, digital asset settlement and custodial services worldwide.
This is the beginning of a new era for capital market infrastructures, said Jos Dijsselhof the CEO of SIX.
The platform will be based on Distributed Ledger Technology (DLT), creating a bridge between the traditional markets and the crypto ecosystem.
Furthermore, the initiative seeks to tokenize existing securities and non-bankable assets and make them tradable. At the same time, customers should be able to determine for themselves how and when they want to use the new possibilities of this ecosystem. The report concluded the platform would be functional in mid-2019.