ASIC has today released an information sheet on distributed ledger technology (DLT), also known as blockchain technology.
Read Information Sheet 219
Evaluating distributed ledger technology (INFO 219).
In the last few years, there has been intense interest in DLT from operators of financial market infrastructure, financial institutions, financial services providers and innovative financial technology (fintech) firms around the world.
The information sheet sets out an assessment tool for evaluating DLT-based servicescomprised of six broad questions. These are the questions that ASIC is likely to ask when we assess whether the use of DLT by a service provider or infrastructure operator would allow the person to meet their regulatory obligations.
How will the DLT be used?
What DLT platform is being used?
How is the DLT using data?
How is the DLT run?
How does the DLT work under the law?
How does the DLT affect others?
ASIC Chairman Greg Medcraft said, 'This info sheet is for both existing licensees and start-ups. It will help to fast track our discussions with stakeholders and we want to use the framework as a conversation starter as the technology continues to evolve.'
Contributed | what does this mean?