Largest Clearing House in the US Acquires Digital Asset Firm Securrency

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The Depository Trust & Clearing Corp., known as DTCC, has acquired digital asset infrastructure company Securrency, according to a Thursday announcement. Securrency will soon rebrand as “DTCC Digital Assets.” Looking ahead, DTCC said it plans to use blockchain technology to integrate digital assets into its current products and services.

Securrency Joins DTCC Ranks; Blockchain Strategy Accelerates for Clearing Giant

DTCC has made a notable move in the blockchain sector by acquiring Securrency, a startup focusing on distributed ledger and digital assets. Sources and reports indicate the acquisition cost was about $50 million.

DTCC is the largest clearing and settlement company in the U.S., holding central custody of more than 1.4 million active securities with a combined value of $87.1 trillion. On its website, Securrency announced the deal and noted that DTCC aims to evolve some operational models with new digital asset services. Fund manager Wisdomtree uses Securrency’s software in its Wisdomtree Prime product.

“This will enable DTCC to collaborate with the industry to create a robust and scalable infrastructure essential for the widespread adoption of digital assets,” said Nadine Chakar, CEO of Securrency. “Together, we can explore new ways to improve compliance, liquidity, efficiency, and interoperability when trading tangible assets on the blockchain.” Chakar’s subsequent position at DTCC Digital Assets will be as global head and managing director.

DTCC is among many financial heavyweights adopting distributed ledger technology. Just last week, Mastercard introduced a solution enhancing central bank digital currencies, or CBDCs. This solution enables their transfer via alternate blockchains. EY has launched a blockchain tool named Reconciler, now used by Fidelity Digital Assets. Moreover, this isn’t DTCC’s first foray into the world of distributed ledger technology.

In 2016, DTCC collaborated with the Linux Foundation and the Hyperledger project, supported by Blythe Masters’ Digital Asset Holdings. The leading clearing and settlement company was among over 30 financial firms eager to engage with the blockchain pilots.

“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 tokenized assets, digital currencies, and other financial instruments,” Frank La Salla, the president, CEO, and director of DTCC remarked on October 19.

What do you think about the Depository Trust & Clearing Corp. acquiring the digital currency infrastructure company Securrency? Share your thoughts and opinions about this subject in the comments section below.