Digital Asset hopes to use blockchain to make payments and settlement easier

Digital Asset Holdings, the distributed ledger start-up led by former JP Morgan chief Blythe Masters, has raised $50 million in a funding round.

A number of leading companies invested in Digital Asset, including ABN Amro, Accenture, BNP Paribas, Citi and Broadridge Financial Solutions.

The start-up is aiming to improve efficiency, security, compliance and settlement speed through the use of distributed ledger technology (also known as blockchain).

Launched in 2015, the company has already made moves in the industry, having acquired blockchain groups Hyperledger, Bits of Proof and to expand its portfolio.

Masters, CEO of Digital Asset, called the investments ‘a tremendous endorsement’. On the back of the funding the start-up will be expanding its board of directors to nine members.

The firm has also announced plans to open a London-based office to increase its presence in the UK and European markets.

ASX Jeeves

ASX Limited has charged Digital Asset with the task of developing distributed ledger solutions in the Australian market.

The initial focus will be on post-trade services in the cash equites sector, following ASX’s announcement last year that it would be uprooting all of its main trading and post-trading platforms.

The first phase of this project will run until the end of 2016 and involves the replacement of ASX’s old systems.

Phase two is expected to last six months to a year and will result in the creation of a solution ‘that demonstrates the benefits that distributed ledger technology could provide’.

Elmer Funke Kupper, MD and CEO of ASX, described the use of blockchain as ‘a once in a generation opportunity’ for the Australian equities market.

By Alex Hamilton

by IBS Intelligence