Paxos Gets SEC Nod to Use Blockchain to Settle Stock Trades
- Credit Suisse and Societe Generale among early adopters
- Service represents direct challenge to dominance of DTCC
Photographer: Joshua Roberts/Bloomberg
This article is for subscribers only.
Paxos Trust Co., a blockchain company that caters to financial institutions, has been given the green light to settle stock trades in near real-time in a direct threat to the Depository Trust & Clearing Corp.’s half-century equity market dominance.
The U.S. Securities and Exchange Commission granted the company permission today to begin a small-scale program with at least two broker dealers to use blockchain technology to transfer shares and money once the trades are complete, Paxos said in a statement Monday.