Daiwa Securities Utilizes Blockchain in Stock Trading! Trial Experiments also Conducted
It became clear that Daiwa Securities, a major Japanese securities company, will utilize blockchain for some of its stock trading.
Improving Work Efficiency using Blockchain
Daiwa Securities said it is considering using blockchain in a process called “contract verification” (confirming whether the quantity and price are consistent between seller and buyer after establishment of trade), which happens when stocks are bought and sold. In contractual verification, criteria such as handling decimal places are different for each financial institution. It is clear that work efficiency can be greatly improved if blockchain is used with preset criteria.
Verification experiments for contract checking utilizing blockchain in collaboration with 25 companies including management companies and trust banks are being planned. Afterwards, a uniform standard of contract verification is scheduled to be decided in January of 2019.
In addition, President Seiji Nakada of Daiwa Securities has revealed that the company is planning to enter the cryptocurrency business. Utilizing blockchain in operations may be the first step toward entry into the cryptocurrency business.
