Subscribe to our newsletter

ASX to provide blockchain update in December

ASX to provide blockchain update in December

Jessica Yun
— 1 minute read

The ASX will provide an update on its progress to replace CHESS with a distributed ledger technology solution in December 2017.

Speaking at the ASX annual general meeting in Sydney on Tuesday, ASX chief executive Dominic Stevens revealed the latest progress update on the security exchange’s efforts to explore the “potential of distributed ledger technology” (DLT).

The ASX has been working with US-based Digital Asset Holdings to develop a replacement for the current CHESS system based on ‘blockchain’ technology.

“We are on track to make an announcement about our assessment of [DLT’s] suitability to replace CHESS in December 2017,” Mr Stevens said.

According to Mr Stevens, the strategy to replace the current CHESS system was “progressing well”, with a stakeholder consultation program already in motion.

“Enterprise-grade DLT software development of equity clearing and settlement functionality [is] on track for December assessment,” he said.

Blockchain technology was also earmarked to have potential implications for “operational efficiencies” and “new service offerings for the entire industry”.

The process had allowed ASX to identify further areas of improvement “for customers beyond the world of CHESS”, he said.

Mr Stevens mentioned the security exchange had thus far undertaken “extensive market consultation” such as workshops, demonstrations and committee meetings that involved various stakeholders, including “customers, regulators, share registries” and “other exchanges and industry associations”.

“The process has been a fantastic opportunity for ASX to engage with its customers and build a detailed understanding of what the industry wants,” Mr Stevens said.

 

 

ASX to provide blockchain update in December
investordaily image
ID logo

related articles

promoted stories