ICAP, a leading markets operator and provider of post trade risk mitigation and information services, is getting ready to process foreign exchange trades on blockchain.
Earlier this year, ICAP unveiled that its post trade risk and information division completed a proof of technology test case for blockchain. The proof of technology used the multi asset messaging and matching Harmony network, and blockchain infrastructure provided by Axoni.
ICAP Plc, which will be renamed NEX Group from January, will supply the code to customers in March so institutional investors can more transparently track and value deals in the spot market, which trades $1.7 trillion a day.
ICAP will utilize its subsidiary Traiana in collaboration with US-based technology firm Axoni. Triana deals with pre-trade risk evaluation and automation of post-trade processing of financial transactions in listed and over-the counter trading markets. Triana reconciles transaction, reference, market and portfolio data before it is sent out, either to regulators, clearing houses or back to financial institutions themselves.
“By the end of March clients will be able to access their own code on the blockchain. We create a digital record in a cloud vault and also on the blockchain. We are building the Nex technology platform and licensing to the Triana legal entity, so that we can run both systems in parallel. Over time we will be able to turn off the old system,” said Jenny Knott, chief executive of post trade risk and information at ICAP.
Considering other significant blockchain news, Overstock has recently become the first publicly traded company to issue securities on the blockchain. The online retailer started selling company shares via its trading platform.
Overstock has closed the first-ever Series A preferred funding round with shares sold on a blockchain. Of the total $10.9 raised from existing shareholders, about $1.9 million was raised via shares readed on the tØ blockchain platform developed by Overstock.com subsidiary Medici.