The Tel Aviv Stock Exchange (Tase) is set to launch what it claims is the country’s first blockchain-based securities lending platform.
According to the exchange, the new service will function as a one-stop shop for all securities lending activities, and enable direct lending across all major instruments with access to larger securities volumes and within shorter timeframes.
There is currently no centralised sec lending platform in the Israeli market and participants instead use interbank mechanisms.
Tase hopes that the new platform will not only harness the advantages of blockchain technology such as smart contracts and direct peer-to-peer transactions but encourage greater securities lending activity.
“The blockchain technology will present a new level of safety for securities lending and will support growth for transactions based on this new platform,” said Orly Grinfeld, head of clearing at Tase.
The exchange’s members have been testing the platform since March, ahead of a launch currently scheduled for November.
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