Advantages of digital securities

What makes digital securities so special?

The classic issue of securities is a time-consuming and expensive process involving many different parties. This is largely due to the fact that an analogous document is required for the issue of a classic security.

This document must be deposited with a central depository via a custodian bank so that investors can buy a security. The CSD, together with the custodian banks involved, ensures that the data on a security remains unchanged - including the current holders.

We are replacing this analogue and centralised process with a decentralised infrastructure based on the Ethereum blockchain. This infrastructure serves as a secure register in which the holders of securities are stored. The immutability of the data is technically ensured in this case. This means an enormous scalable cost advantage compared to centralized systems.