Broadridge Financial Solutions writes about why the repo market presents an ideal use case for distributed ledger technology and why they're using DAML to build an innovative bilateral repo platform.
Imagine a world where all participants on a repo transaction share a single view throughout the lifecycle of the trade. Where having a single source of record on a platform that defined the rules of the market meant that fails and disputes were nearly eradicated. Where true simultaneous settlement decreased the capital requirements needed to trade. Imagine that this platform was built by a neutral and trusted market solutions provider.
Given Broadridge’s existing reach and network, we identified the repo market as an optimal use case for DLT. Feedback on our approach from existing market participants and potential new players further validated the market benefits of this platform.
After testing the feasibility of various technology providers and DLT platforms for our repo solution, we’ve emerged with our partnership with Digital Asset.
Our collaboration is built on a shared vision to transform the way repo trades are captured, processed, cleared, and settled globally.
Using DAML, Digital Asset’s open-source smart contract language, specifically designed to model and execute multi-party workflows, we have been able to rapidly build upon this vision.