DTCC Boosts Digital Transformation with Latest Acquisition of Securrency
The Depository Trust & Clearing Corporation (DTCC) has made a significant stride towards revolutionising the digital asset landscape by acquiring blockchain-based fintech firm Securrency. While the financial terms of this strategic move remain undisclosed, the impact it promises is substantial.
Today, DTCC announced that we have signed a definitive agreement to acquire @Securrency, a leading developer of institutional-grade, digital asset infrastructure. Read more: https://t.co/E451Lrpe2tpic.twitter.com/KMfxiNMtVc
DTCC, known for its pivotal role as the clearinghouse for U.S. stock markets, processes trillions of dollars worth of securities transactions annually. This acquisition signifies DTCC’s intent to embrace the burgeoning world of digital assets and blockchain technology. Securrency, a leader in institutional-grade digital asset infrastructure, offers blockchain-based regulatory technology to institutions, facilitating compliant digital asset adoption on existing legacy systems.
The acquisition is set to be finalised within weeks, transforming Securrency into a fully-owned subsidiary operating under the name DTCC Digital Assets. The leadership of Nadine Chakar, CEO of Securrency, will steer this new unit, supported by approximately 100 other staff members.
DTCC’s journey into the digital asset realm is not a recent development. Last year, it unveiled a distributed ledger technology (DLT)-based alternative settlement platform that went live in a parallel production environment. The acquisition of Securrency, however, promises to expedite the development of its enterprise digital asset platform, unlocking the potential of institutional DeFi (decentralised finance).
The vision is clear: DTCC aims to leverage Securrency’s technology to seamlessly integrate digital assets into its existing suite of products and services. Furthermore, the company plans to create new, regulatory-compliant blockchain-based offerings and explore collaborative use cases within the industry. The implications of this acquisition extend to the broader financial ecosystem, as DTCC intends to license Securrency’s technology and provide professional services. This will enable firms to harness the technology to develop innovative digital asset services independently or in partnership with other market players.
Frank La Salla, President, CEO, and Director of DTCC, expressed the significance of this acquisition, stating, “Securrency is an important strategic acquisition that will give us the technology to drive market-wide transformation by enabling end-to-end digital lifecycle processing for tokenised assets, digital currencies, and other financial instruments.”
He further emphasised the role of DTCC in ensuring market stability while leveraging Securrency’s sophisticated technology to navigate the industry’s digital transformation journey.
Nadine Chakar, the CEO of Securrency, who will join DTCC as Managing Director and Global Head of DTCC Digital Assets, echoed the sentiment. She highlighted the exciting prospects of combining DTCC’s infrastructure with Securrency’s technology to lead the digitisation of capital markets, reimagining compliance, liquidity, efficiency, and interoperability in trading real-world assets on the blockchain.
The acquisition positions DTCC as a leader in bridging traditional financial practices with advanced digital technology and underscores the growing convergence between conventional finance and blockchain technology. The tokenisation of assets, where traditional assets like private equity, credit, and real estate are moved onto blockchain platforms, is a key growth area within the cryptocurrency sphere. The market for tokenised assets is predicted to soar to trillions of dollars by 2030, according to Digital Asset Manager 21. co.
In summary, DTCC’s acquisition of Securrency signifies a pivotal moment in the financial industry’s journey towards embracing digital assets and blockchain technology. With this move, DTCC is poised to play a leading role in shaping the future of digital finance, unlocking value for the industry and guiding it through the digital transformation journey.
