The London Stock Exchange Group (LSEG) has launched a new blockchain platform for private funds.
The London Stock Exchange’s Digital Markets Infrastructure (DMI) platform has been built using Microsoft’s (MSFT) Azure cloud computing technology.
The new platform is designed to use blockchain technology across the full lifecycle of an asset, from issuance to settlement, with greater scale and efficiency than existing systems.
Blockchain is the technology that underpins cryptocurrencies such as Bitcoin (BTC) and Ethereum (ETH) and facilitates transactions using digital assets.
The London Stock Exchange says it will ensure the DMI platform works with current market services in blockchain technology as well as traditional finance.
The exchange says it launched the new platform because it sees significant demand for faster and more secure financial transactions across blockchain networks.
Stock exchanges around the world are adopting and embedding blockchain technologies as a means of increasing the efficiency of financial transactions and reducing costs.
Last week, the Nasdaq (NDAQ) exchange filed a proposal with the U.S. Securities and Exchange Commission (SEC) to tokenize stocks on its exchange for trading on blockchain networks.
Bitcoin, the biggest cryptocurrency by market capitalization, is currently trading at $114,900 U.S., having risen 23% this year.
