ASX says its blockchain will help issuers manage shareholders
ASX has told companies listed on its exchange that its delayed blockchain project will introduce new features including “improved processing for corporate actions” that promise to reduce costs for equity issuers.
ASX, in an update on its new equities clearing and settlement system, said it expected the distributed ledger technology (DLT) to encourage software developers to build “microservices” for listed companies.
The replacement to the CHESS system would therefore allow issuers to create better voting applications for shareholders, or analytics engines for management.
“We believe that many of the most exciting changes will come from service providers competing for your business by offering more cost-effective and innovative products,” ASX said ahead of market consultation kicking off next week to determine a new start date for the DLT system.
This will include “delivering improvements to corporate action elections, particularly for participants who have asked for more efficient and risk-averse processes”.
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