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Digital capital market infrastructure lays a foundation for a new evolution in finance - one that combines proven parts of traditional structures and the potential of new technology like blockchain and DLT. This transition has has many layers - as well as challenges and opportunities.
But what efficiencies does digital capital market infrastructure actually bring? What links remain between the “old and new” worlds - with exchanges, central securities depositories (CSD) and other elements of the ecosystem? And how do changing regulations and technological innovations promise to alter the landscape overtime?
In Part 1 of this RULEMATCH Spot On episode, Ian Simpson speaks to David Newns, Head of the SIX Digital Exchange (SDX) for an in-depth discussion of SDX’s development and operations, perspectives on the current state of digital assets and SDX’s place in the wider world of digital capital markets.
(1:31) - What is SDX exactly?
(2:50) - Equal regulation as the foundation of SDX
(6:30) - How Switzerland (and SDX) have benefited from crypto
(11:05) - The advantages of regulation
(12:35) - The why and how of dual asset listings
(17:44) - Why bonds and how successful they are on SDX
(20:05) - Digital bonds in financial products
(22:50) - (Digital) securities equivalence and why it’s useful
(25:38) - Digital central bank money - the missing component
(25:59) - Why capital markets need riskless digital money
(30:37) - The key considerations for building a blockchain-based capital market infrastructure
(36:17) - Moving forward towards “digital supremacy”
(36:50) - Intermediated (dematerialized) securities in the digital assets space - and why Switzerland is good at them
(39:45) - Central securities depositories (CSD) on the blockchain and collateral mobilization
(42:54) - “Borrowing” DeFi use cases for regulated financial services
(43:52) - Privacy, settlement finality and other considerations for use of a private blockchain
(50:44) - The use cases for instantaneous (precision) settlement and its potential downsides
(55:07) - Details on the trading and settlement processes of SDX
(58:29) - (No) needs for a Central Counterparty Clearing House (CCP)
Disclaimer:
By RULEMATCHDigital capital market infrastructure lays a foundation for a new evolution in finance - one that combines proven parts of traditional structures and the potential of new technology like blockchain and DLT. This transition has has many layers - as well as challenges and opportunities.
But what efficiencies does digital capital market infrastructure actually bring? What links remain between the “old and new” worlds - with exchanges, central securities depositories (CSD) and other elements of the ecosystem? And how do changing regulations and technological innovations promise to alter the landscape overtime?
In Part 1 of this RULEMATCH Spot On episode, Ian Simpson speaks to David Newns, Head of the SIX Digital Exchange (SDX) for an in-depth discussion of SDX’s development and operations, perspectives on the current state of digital assets and SDX’s place in the wider world of digital capital markets.
(1:31) - What is SDX exactly?
(2:50) - Equal regulation as the foundation of SDX
(6:30) - How Switzerland (and SDX) have benefited from crypto
(11:05) - The advantages of regulation
(12:35) - The why and how of dual asset listings
(17:44) - Why bonds and how successful they are on SDX
(20:05) - Digital bonds in financial products
(22:50) - (Digital) securities equivalence and why it’s useful
(25:38) - Digital central bank money - the missing component
(25:59) - Why capital markets need riskless digital money
(30:37) - The key considerations for building a blockchain-based capital market infrastructure
(36:17) - Moving forward towards “digital supremacy”
(36:50) - Intermediated (dematerialized) securities in the digital assets space - and why Switzerland is good at them
(39:45) - Central securities depositories (CSD) on the blockchain and collateral mobilization
(42:54) - “Borrowing” DeFi use cases for regulated financial services
(43:52) - Privacy, settlement finality and other considerations for use of a private blockchain
(50:44) - The use cases for instantaneous (precision) settlement and its potential downsides
(55:07) - Details on the trading and settlement processes of SDX
(58:29) - (No) needs for a Central Counterparty Clearing House (CCP)
Disclaimer: