Nasdaq Linq Enables First-Ever Private Securities Issuance Documented With Blockchain Technology
(Thomson Reuters ONE) -
Transaction by Chain.com Marks Significant 'Proof of Concept' and Major Step
Forward in Use of Blockchain
Blockchain Holds Potential for 99% Reduced Settlement Time and Risk Exposure in
Capital Markets
NEW YORK, Dec. 30, 2015 (GLOBE NEWSWIRE) -- Nasdaq (Nasdaq:NDAQ) today
announced that an issuer was able to use its Nasdaq Linq blockchain ledger
technology to successfully complete and record a private securities transaction
- the first of its kind using blockchain technology. Chain.com, an inaugural
Nasdaq Linq client and blockchain developer, documented its issuance of shares
to a private investor using Nasdaq's blockchain-enabled technology. This
transaction represents a major advance in the application of blockchain
technology for private companies.
For this transaction, Nasdaq enabled the issuer to digitally represent a record
of ownership using Nasdaq Linq, while significantly reducing settlement time and
eliminating the need for paper stock certificates. In addition to its equity
management function, Nasdaq Linq also provides issuers and investors an ability
to complete and execute subscription documents online.
Nasdaq's use of blockchain technology also holds promise for expediting trade
settlement for transactions in public markets. Blockchain technology has the
potential to assist in expediting trade clearing and settlement from the current
equity market standards of three days to as little as ten minutes. As a result,
settlement risk exposure can be reduced by over 99 percent, dramatically
lowering capital costs and systemic risk. In addition, this technology could
allow issuers to significantly lower the risk and the administrative burden of
what is largely a manual and multi-step process today.
"We believe this successful transaction marks a major advance in the global
financial sector and represents a seminal moment in the application of
blockchain technology," said Bob Greifeld, CEO, Nasdaq. "Through this initial
application of blockchain technology, we begin a process that could
revolutionize the core of capital markets infrastructure systems. The
implications for settlement and outdated administrative functions are profound."
"No doubt this is a powerful milestone for Chain and our partnership with
Nasdaq," said Adam Ludwin, CEO, Chain.com. "We couldn't be happier with the
results of the transaction. It was seamless and met our objective of drastically
reduced manual ownership transfer."
In November, Nasdaq announced that it is exploring the application of its
blockchain technology to proxy voting in Estonia. Further progress with
Nasdaq's enterprise-wide blockchain initiatives is expected to be announced in
2016.
Note to Editors
Chain is not a public company and its securities are not available in the public
markets. No offering of securities is being made, and no solicitation of an
offer to buy securities is being made; any description of a transaction is
solely for informational purposes pertaining to Chain's use of Nasdaq's
technology.
Cautionary Note Regarding Forward-Looking Statements
The matters described herein contain forward-looking statements that are made
under the Safe Harbor provisions of the Private Securities Litigation Reform Act
of 1995. These statements include, but are not limited to, statements about
Nasdaq Linq and Nasdaq and its other products and offerings. We caution that
these statements are not guarantees of future performance. Actual results may
differ materially from those expressed or implied in the forward-looking
statements. Forward-looking statements involve a number of risks, uncertainties
or other factors beyond Nasdaq's control. These factors include, but are not
limited to developments in blockchain technology including by competitors,
potential new regulations, and factors detailed in Nasdaq's annual report on
Form 10-K, and in periodic reports filed with the U.S. Securities and Exchange
Commission. We undertake no obligation to release any revisions to any forward-
looking statements.
About Nasdaq
Nasdaq (Nasdaq:NDAQ) is a leading provider of trading, clearing, exchange
technology, listing, information and public company services across six
continents. Through its diverse portfolio of solutions, Nasdaq enables customers
to plan, optimize and execute their business vision with confidence, using
proven technologies that provide transparency and insight for navigating today's
global capital markets. As the creator of the world's first electronic stock
market, its technology powers more than 70 marketplaces in 50 countries, and 1
in 10 of the world's securities transactions. Nasdaq is home to more than 3,600
listed companies with a market value of approximately $8.8 trillion and more
than 10,000 corporate clients. To learn more,
visit: nasdaq.com/ambition or business.nasdaq.com.
About Chain
Chain.com is the leading blockchain infrastructure provider to financial
institutions and enterprises. Chain's platform enables the secure issuance and
management of digital assets on a blockchain network. Chain's customers span the
payments, banking, capital markets, telecom and energy markets. Chain is based
in San Francisco, CA and is funded by leading venture firms Khosla Ventures, RRE
Ventures and Thrive Capital as well as strategic investors Visa, Citi, Nasdaq,
Capital One, Fiserv and Orange.
NDAQG
Nasdaq Media Contacts:
Will Briganti
+1.646.441.5012
william.briganti(at)nasdaq.com
Ryan Wells
+44 (0) 7809 596 390
ryan.wells(at)nasdaq.com
This announcement is distributed by GlobeNewswire on behalf of
GlobeNewswire clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: Nasdaq via GlobeNewswire
[HUG#1976131]
Unternehmensinformation / Kurzprofil:
Datum: 30.12.2015 - 14:01 Uhr
Sprache: Deutsch
News-ID 441896
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Kategorie:
Business News
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