A Central Securities Depository (CSD) holds and settles securities transactions. CSDs operate as central custodians for financial instruments, providing services for the safekeeping of securities and the processing of transfers. They play a fundamental role in traditional financial markets by reducing counterparty risk and streamlining post-trade activities. Their function ensures the efficient and secure movement of ownership records for stocks, bonds, and other assets.
Context
The emergence of digital assets and blockchain technology presents both challenges and opportunities for traditional CSDs. There is ongoing discussion regarding how CSDs might integrate distributed ledger technology to modernize their operations and handle tokenized securities. The future involves evaluating hybrid models that combine the regulatory oversight of CSDs with the efficiencies offered by digital asset platforms.
Digitizing the €14 trillion Eurobond market via DLT establishes a foundation for T+0 settlement and enhanced capital efficiency across European debt markets.
We use cookies to personalize content and marketing, and to analyze our traffic. This helps us maintain the quality of our free resources. manage your preferences below.
Detailed Cookie Preferences
This helps support our free resources through personalized marketing efforts and promotions.
Analytics cookies help us understand how visitors interact with our website, improving user experience and website performance.
Personalization cookies enable us to customize the content and features of our site based on your interactions, offering a more tailored experience.
