The $114 Trillion Question: How DTCC Is Tokenizing the Entire U.S. Market
DTCC holds $114 trillion in assets. On July 15th, it showed the world how those assets can be converted into digital tokens, traded in real production conditions, and converted back — without disrupting anything. Nadine Chakar joins The Defiant to explain the digital twin model, why they chose Besu and Canton, what the Russell 1000 SEC authorization covers, and what realistic demand will look like at October's launch. She also confronts the big philosophical question: did blockchain disrupt Wall Street, or did Wall Street absorb blockchain? The answer might surprise you.Explore The Defiant ✨📰 Websitehttps://thedefiant.io/✉️ Free Daily Newsletter https://thedefiant.io/newsletter/defi...🤑 Weekly Premium Newsletter https://thedefiant.io/newsletter/defi...✊ Follow The DefiantX/Twitter: https://x.com/DefiantNews📬 Contact our Newsroomeditorial@thedefiant.io🤝 Sponsorships & Partnershipssponsors@thedefiant.io#TheDefiant #DeFi #Decentralized #Finance #Blockchain #Web3
‘They’re readying themselves:’ Exec at multi-trillion dollar bank explains why clients are warming up to bitcoin
State Street made headlines last month, announcing a brand new division covering crypto, digital assets, and tokenization.
State Street VP and Head of Global Markets, Nadine Chakar, is leading that charge. Despite the recent price slump in crypto-assets, interest has not abated, she noted in an interview for the latest episode of The Scoop:
“The price depreciation has not impacted demand and interest at all. I think we're still seeing a lot of people enthusiastically embracing digital in general, crypto in certain cases. And there's not a day that goes by that you don't see some large hedge fund or some large investor, you know, outlining their support for digital.”
To meet that demand, State Street is working with clients on developing solutions that help them allocate to bitcoin and other crypto-assets. It is also a partner to several fund managers looking to offer exchange-traded funds–although, it’s not clear when financial regulators will approve such a product.
Still, Chakar said the bank isn’t ready to dive into the market with a custody offering:
“We're not going to rush into this unless we can feel very comfortable that we could support the new digital assets with the same rigor that we support the old ones where we're going to continue to work on fine-tuning our models.”
Chakar also does not believe that a decentralized banking ecosystem will be built to replace banks or traditional finance institutions. Chakar mentioned pensions plans as an example of a traditional finance structure that DeFi may not be able to execute on. Though it's not an impossibility one day, she noted:
“I hate to disappoint people that think the banks are just going to up and disappear and be totally replaced by blockchain.”
Nadine sees the balance between the integration of DeFi traditional finance as that “sweet spot” but sees the industry as still at a starting point.
Episode 42 of Season 3 of The Scoop was recorded remotely with The Block’s Frank Chaparro and Nadine Chakar, Head of State Street Digital at State Street.
Listen below, and subscribe to The Scoop on Apple, Spotify, Google Podcasts, Stitcher or wherever you listen to podcasts. Email feedback and revision requests to podcast@theblockcrypto.com.
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Central Bank Digital Currencies: How Should Privacy Be Built In? - Ep.206
This panel, from a panel for the fifth anniversary of Hyperledger, features Rob Palatnick, managing director of global head of technology research and innovation at the DTCC and chairman of the Hyperledger board, Matthieu Saint Olive, Codefi payments product manager and CBDC advisor at ConsenSys, and Robert Bench, assistant vice president at the Federal Reserve Bank of Boston. In this discussion on the current outlook on central bank digital currencies (CBDCs), they cover:
what main problems CBDCs can solve
whether CBDCs should be open sourced
why building a new technology for CBDCs is preferred over using existing tech
how concerns over CBDCs and their privacy implications differ across countries
what possible pain points or opportunities CBDCs pose for central banks
whether CBDCs should be blockchain-based
to what extent CBDCs will be distributed and open networks, and whether fees would be charged for transactions
how central banks are thinking about methods of adoption, like whether they will bank directly with retail customers or still use commercial banks
how developers balance the drawbacks and benefits of blockchain-based CBDCs with different stakeholders
whether stable coins will be replaced by or coexist with CBDCs
and what the future holds for the continued development of CBDCs
Thank you to our sponsors!
Crypto.com: http://crypto.com
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Episode links:
Rob Palatnick: https://www.dtcc.com/our-experts/robert-palatnick
Brian Behlendorf: https://twitter.com/brianbehlendorf?lang=en
Matthieu Saint Olive: https://twitter.com/msaintolive?lang=en
Robert Bench: https://www.bostonfed.org/home/people/bank/robert-bench.aspx
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A Conversation with Mike Bodson, CEO of DTCC
In this episode of The Scoop, Frank Chaparro and Ryan Todd interview Mike Bodson, CEO of DTCC. The Depository Trust & Clearing Corporation is a 5,000 person operation that touches every corner of Wall Street, handling 1.8 quadrillion dollars of trades every year, flipping the GDP every three days. DTCC also operates a custodial service, securing 54 trillion dollars worth of securities, mostly in electronic form. Mike discusses Wall Street’s adoption of distributed ledger technology, cryptocurrency valuations, and how Superstorm Sandy almost wiped out 35 trillion dollars.
To read more about this podcast and find additional related reading materials, head over to https://tblck.co/the-scoop-e1
Introducing The Scoop with Frank Chaparro
Frank Chaparro introduces The Block's new podcast, The Scoop, with a clip from the first episode, featuring Mike Bodson of DTCC.
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