Clearstream is introducing a blockchain-based solution that enables clients to select between digital and tokenized securities issuance, powered by Google Cloud.
The new platform, named D7 DLT, will be launched initially in the international market for Clearstream Banking clients. The first issuances expected to utilize this platform are commercial papers (CPs) and medium-term notes (MTNs). These instruments will greatly benefit from expedited issuance, allowing treasurers to secure funding on an intraday basis.
Google Cloud, a strategic innovation partner of Clearstream’s parent company, Deutsche Börse Group, offers robust infrastructure, technical expertise, and cloud capabilities.
In addition to facilitating efficient issuance and lifecycle management, the D7 DLT platform provides a transparent and immutable record of ownership and transactions, ensuring compatibility with existing market infrastructure.
Jens Hachmeister, Head of Issuer Services & New Digital Markets, stated, “D7 is transforming the landscape of securities issuance, management, and trading. It serves all market participants by allowing them the flexibility to choose between digital and tokenized options.”
The launch of D7 DLT comes after successful trials conducted by the European Central Bank (ECB) that explored the application of distributed ledger technology for settling wholesale transactions in central bank money, set for 2024. Hachmeister emphasized that the platform’s capacity to manage both securities and central bank digital currencies (CBDC) positions it as a key player for future advancements in programmable money.