Montis, the central securities depository (CSD) and a subsidiary of digital asset exchange Archax, is expanding its offering. Nine months ago it partnered with Delta Capita to develop distributed ledger based CSD. That work is now complete, and the two companies are expanding their collaboration.
Two of the new pieces of work are to enable delivery versus payment to settle digital securities transactions with deposit tokens and wholesale CBDC. Additionally, it wants to optimize settlement in the EU and support European-listed warrants.
In the UK, tokenized deposits had initial trials as part of the Regulated Liability Network. Those tests are moving into a second phase. And in Europe, testing will soon start for wholesale CBDC and other DLT settlement solutions.
In the meantime, with the delivery of the CSD solution, Montis hopes for regulatory approval soon. In the first phase it supports the Ethereum, Algorand and Hedera DLTs.
Last year Delta Capita acquired capital markets distributed ledger technology from SETL and branded it MACH.
Martin Wakins, CEO of Montis, said the company “identified potential cost savings in excess of 40% for participants that can be achieved through our partnership. We believe that all assets are moving on-chain, so the regulated infrastructure needs to be ready for that moment. Montis is ahead of the curve and with all the largest financial institutions agreeing that tokenisation is the future, we are perfectly placed to meet the rapidly increasing demand.”
With Montis based in the UK, the timing is just right. The UK’s Digital Securities Sandbox commenced yesterday.
