Nasdaq links EU markets to Boerse Stuttgart's tokenized settlement venue
Summary
A new partnership is set to enhance European capital markets by facilitating blockchain-based settlement of tokenized securities, aiming to reduce fragmentation and streamline processes for investors and financial institutions alike.
Key Insights
What are tokenized securities?
Tokenized securities are traditional financial assets, such as structured products, represented as digital tokens on distributed ledger technology (DLT) or blockchain, enabling faster and more efficient trading and settlement while maintaining regulatory standards.
What is Seturion and how does this partnership work?
Seturion is Boerse Stuttgart Group's pan-European settlement platform for tokenized assets, supporting all asset classes on public and private DLTs with cash settlement options. Nasdaq will connect its European trading venues, starting with structured products, to Seturion for blockchain-based settlement to reduce fragmentation and improve efficiency.