Author: Martin

The wave of transformation in traditional financial infrastructure has arrived, and blockchain technology is moving from the periphery to the core.

Goldman Sachs trader Mark Wilson recently pointed out that the tokenization of Galaxy Digital's stock is the first of its kind in the United States, and "I'm quite sure it's also the first in the world." He believes that this move could have "significant potential impacts" on the structure of capital markets.

This assessment reveals Wall Street's growing interest in blockchain technology. Wilson also noted that combined with Nasdaq's investment in Gemini and BlackRock's intention to tokenize ETFs, the potential for blockchain to empower capital markets is becoming increasingly clear.

Wall Street Giants' Blockchain Strategies

Top global financial institutions are actively positioning themselves in the blockchain space. Goldman Sachs and New York Community Bank (NYCB) have jointly created digital tokens linked to money market funds, allowing investors to buy and sell these fund shares through NYCB's LiquidityDirect platform.

Goldman Sachs also plans to spin off its digital asset platform GS DAP into an independent industry-owned entity to address the challenge of financial institutions' reluctance to accept private blockchain solutions owned by competitors.

BlackRock is exploring the possibility of converting exchange-traded funds (ETFs) into blockchain tokens, which could fundamentally change the way one of Wall Street's most important investment products operates.

Tokenization: From Proof of Concept to Mainstream Application

Tokenized securities are moving from proof of concept to mainstream application. A Goldman Sachs report shows that the scale of tokenized asset management reached $23 billion in the first half of this year, a staggering increase of 260%, and is expected to exceed $600 billion by 2030.

Money market funds are leading this wave of innovation, with BlackRock's BUIDL fund asset management scale exceeding $2.9 billion, making it the largest tokenized money market fund in the world.

Tokenization of private equity and alternative assets is also gaining attention. According to Goldman Sachs' forecast, the tokenized fund market is expected to expand significantly from $40 billion in 2023 to $317 billion by 2028.

Nasdaq and Gemini's Strategic Partnership

Nasdaq has established a strategic partnership with cryptocurrency exchange Gemini and plans to privately purchase $50 million in shares, aiming to gain access to Gemini's custody and staking services.

This collaboration comes after Nasdaq officially announced its entry into the tokenized securities space. The company has submitted a rule change application to the U.S. Securities and Exchange Commission, aiming to allow securities to be traded in token form.

Nasdaq's CEO has publicly stated that Nasdaq will move towards stock tokenization, directly embedding blockchain technology into the core securities trading system, rather than being limited to over-the-counter or ancillary markets.

How Blockchain Empowers Capital Markets

Blockchain technology has the potential to optimize and reshape the entire business chain process of capital markets, with its value primarily reflected in four aspects: on-chain information traceability, enhanced trust; decentralized governance, facilitating inter-institutional collaboration; real-time trustworthy data sharing, improving efficiency; and smart contracts that can automatically execute trading rules.

In the bond issuance field, under the blockchain model, information can be shared timely and reliably among multiple parties, with pricing allocation conducted through smart contracts, and bond settlement completed on-chain, which helps improve issuance efficiency.

For securities lending and repurchase, in the future on the blockchain, the steps for "tokenized" securities transfer and settlement will be fewer, faster, and cheaper, with clear and traceable records.

Nevertheless, the active participation of core Wall Street institutions will lay the foundation for the large-scale adoption of this technology. Mathew McDermott, Global Head of Digital Assets at Goldman Sachs, stated, "We believe that permissioned distributed technology is the next structural change in financial markets."

In the future, we may see more traditional financial assets traded on-chain, with Nasdaq planning to allow securities to be traded in token form and BlackRock exploring the "tokenization" of ETFs.

Blockchain is no longer just synonymous with cryptocurrency; it is becoming a significant driving force for the modernization of traditional financial infrastructure.

免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。