Nasdaq announced plans to leverage blockchain technology as part of an enterprise-wide initiative it will initially leverage the Open Assets Protocol, a colored coin innovation built upon the blockchain.
In its first application expected later this year, Nasdaq will launch blockchain-enabled digital ledger technology that will be used to expand and enhance the equity management capabilities offered by its Nasdaq Private Market platform. Nasdaq’s blockchain technology will offer efficient, fully-electronic services that facilitate the issuance, transfer, and management of private company securities.
Fredrik Voss, Vice President at Nasdaq, has been named the company’s Blockchain Technology Evangelist to lead the strategic development of this initiative for Nasdaq. Importantly, the creation of a securities distributed ledger function using blockchain technology will provide extensive integrity, audit ability, governance and transfer of ownership capabilities.
“Utilizing the blockchain is a natural digital evolution for managing physical securities,” “Once you cut the apron strings of need for the physical, the opportunities we can envision blockchain providing stand to benefit not only our clients, but the broader global capital markets.”
“We are always looking at new ways to leverage technology to provide client-centric solutions,”
“Our initial application of Nasdaq’s blockchain technology-enabled offering will modernize, streamline and secure typically cumbersome administrative functions, and will simplify the overwhelming challenges private companies face with manual ledger record-keeping.” said Bob Greifeld, CEO Nasdaq
Nasdaq is one of the first multinational financial services companies to explore ways to leverage the blockchain in a non-currency manner. The company’s first application will provide a fully-electronic, distributed ledger-style solution for accurate record-keeping that complements ExactEquity™, Nasdaq Private Market’s cloud-based equity management solution that enables private companies to manage their capitalization table and stock plans more efficiently.