Paxos, a financial technology company delivering revolutionary blockchain solutions for the financial services industry, and Euroclear, one of the world's largest settlement houses, announced today that they are working on the development of a blockchain settlement service for the gold market, called Euroclear Bankchain.
The announcement was made during a signing ceremony event at the SIBOS Annual Conference in Geneva, Switzerland, where Paxos and Euroclear officials and market participants celebrated their collaboration announced earlier this year.
"We are coming to market with a ground-breaking offering that will drastically impact the post-trade process and overall trading infrastructure within the global gold market. This product represents the first concrete blockchain use case for gold settlement in the London Bullion Market and is poised to benefit all investors and key stakeholders through our revolutionary Bankchain™ offering. We are pleased to commemorate our progress at today's signing, at this important industry gathering," said Paxos CEO Charles Cascarilla.
Luc Vantomme, Managing Director and Global Head of Innovation, Euroclear added: "As a neutral market infrastructure, with a track record of providing high quality, reliable post-trade services to some of the world's leading financial institutions, we are adopting a collaborative approach wherever possible, working with third-party innovators in ways that reward their innovation while simultaneously giving us flexibility. The settlement of unallocated gold is a very capital-intensive process. We are working to develop a service to reduce risk and balance sheet constraints."