DTCC's tokenisation push: disruption or a blockchain makeover?

DTCC handled 4.7 quadrillion USD of transactions last year, and its nominee Cede & Co. is the registered holder of most US stocks. The author says its tokens just add blockchain to the old system and argues that real disruption means putting share registers onchain.

The author argues DTCC is an "ultra-intermediary" that intermediates other intermediaries rather than investors, with its nominee Cede & Co. registered as holder of most deposited US securities. DTCC processed $4.7 quadrillion in transactions last year and its DTC subsidiary custodies roughly $114 trillion of securities. The author contends DTCC's tokenisation merely overlays blockchain on the existing entitlement system rather than putting share registers onchain. Citing the Dell case, where T. Rowe Price's proxy error cost roughly $194 million, the author argues intermediary routing makes errors legally dispositive.

✨ AI summary of the linked source — not editorial content.

Explore the topic

• Tokenization
• Tokenomics
• Blockchain
• DTCC