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Deutsche Börse, Swisscom, Sygnum To Build Digital Asset Ecosystem


Deutsche Börse Group, Swisscom and Sygnum are partnering to jointly build a trusted and regulatory compliant financial market ecosystem for digital assets by leveraging blockchain's Distributed Ledger Technology (DLT).

It will combine Singapore-based fintech firm Sygnum's banking expertise with Germany's Deutsche Börse and Switzerland-based Swisscom's experience in building and operating scalable financial services infrastructure.

The core elements of the solution will include issuance, custody, access to liquidity, and banking services for digital assets by using DLT in a regulatory compliant environment.

The first products and services are expected to be launched later in 2019. The partners will focus on developing solutions for the emerging tokenized economy, with tokenization of assets being the next major phase of asset digitization.

Deutsche Börse will make an investment in Custodigit AG, founded in 2018 as a joint venture by Swisscom and Sygnum. It provides technical solutions for the custody of digital assets for regulated financial services institutions.

Additionally, Deutsche Börse and Sygnum will become shareholders of daura AG, which has developed a platform that leverages DLT to issue, securely transfer and register Swiss SME-shares, enabling non-listed companies to access the capital markets.

Deutsche Börse and Sygnum are also currently planning the establishment of a further building block of the ecosystem, a listing and trading venue for digital assets in the Swiss market, known to be a nucleus for financial markets innovation.

Meanwhile, Sygnum will provide comprehensive banking services such as custody, deposits, credit & lending, capital issuance via tokenization, brokerage and asset management within the digital asset ecosystem.

This will be subject to obtaining a Swiss banking and securities dealer license from the Swiss Financial Market Supervisory Authority (FINMA).

The ecosystem established by the three partners will be based on Decentralized Ledger Infrastructure developed and operated by Swisscom, meeting security requirements of financial services institutions and allowing for scalability.

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