India’s second largest firm by market valuation has completed a blockchain trial of cross-border securities settlement between two central securities depositories (CSDs).
Tata Consultancy Services (TCS) announced Wednesday that the “successful” pilot project created a set of equity and fixed income securities for Morocco’s Maroclear depository and the Kuwait Clearing Company on the BaNCS Network – the firm’s multi-asset transaction management system implemented on its Quartz blockchain.
In tests conducted by the CSDs, cross-border settlement instructions for these securities were matched and settled “instantaneously” using blockchain, TCS said, with confirmation notifications also arriving in real time.
“Cash coins in a blockchain network enable seamless and real-time DVP settlement of cross-border securities transactions,” the firm said, adding that having no delay in settlement “significantly” reduces the currency risks associated with such transactions. Vivekanand, said:
“Real-time cross-border settlement with cash coins reduces risks, costs and has the potential to create enhanced liquidity in markets in Middle East and Africa.“
By using technologies like blockchain, “we can overcome limitations in prevailing business models and create new business opportunities for our customers,” said Fathia Bennis, CEO of Maroclear.