While the Australian Securities Exchange (ASX) is unlikely to list cryptocurrencies directly on the exchange, it may consider tokenizing real-world assets such as “properly backed” gold.
Dan Chesterman, CIO and technology data group executive at ASX, told Cointelegraph that although there are hurdles to listing cryptocurrencies directly, they would consider listing tokenized real-world assets. said it was possible.
“To date, there have been challenges with getting to the stage where cryptocurrencies can be listed directly, but the main reason is that cryptocurrencies do not meet many of the listing rules,” Chesterman said.
“Can you imagine that tokenized products could eventually go public? Absolutely.”
According to Yahoo Finance on March 28, ASX is the 16th largest stock exchange in the world by market capitalization. report. As of Q1 2023, ASX accounted for nearly 82% of the total dollar trading value of domestic equity market instruments. data From the Australian Securities and Investments Commission.
Chesterman’s approach to blockchain aligns with previous comments from big bank executives who suggested that the blockchain narrative is about an “efficiency driver.”
Howard Silvie, chief innovation officer at National Australia Bank (NAB), said, “Blockchain experimentation is not going away at big banks and big institutions.”
“There are many high-friction, high-value customer processes, but they are still very ripe areas for innovation.”
Meanwhile, Sophie Gilder, Managing Director of Blockchain and Digital Assets at Commonwealth Bank, believes asset tokenization and smart payments can drive significant efficiencies while reducing risks and costs. .
“In today’s market, it’s hard to talk about a turnaround for digital assets.
“So we decided to focus on what the utility of the add-on was, perhaps out of an irrational frenzy that really wasn’t good for the market, aside from attracting capital.”
The ASX came under criticism last year over its decision to suspend blockchain-based upgrades to its nearly 30-year-old clearing and settlement system, which had already cost up to $166 million (A$255 million). It has been.
Related: Blame Battle Intensifies Over ASX’s CHESS System Blockchain Upgrade Failure
However, Chesterman reiterated that the decision was not a “rejection” of blockchain technology.
“The decision to suspend was based on our assessment that some delays were occurring and recurring, and we did not want to go through a process that would cause long and continuous delays and impact our customers. “He said.
“We have made a very careful decision […] Pauses are necessary to prevent continued uncertainty. ”
Chesterman said the exchange continues to work with infrastructure firm Digital Assets for blockchain development platform Synfini.
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