In Brief:
- Swiss stock exchange SIX has launched a long-awaited digital bourse.
- The exchange obtained two licenses from FINMA.
- The firm did not declare the launch of the new product.
Switzerland’s stock exchange SIX has received regulatory approval from the Financial market supervisor to launch a long-awaited Digital Bourse.
SIX Digital Exchange (SDX) announced that it obtained two licenses from FINMA, the country’s markets watchdog, “To operate a stock exchange and depository for blockchain-based securities.”
The announcement states, “This authorization permits SDX to go live with a fully regulated, integrated trading, settlement, and custody infrastructure based on distributed ledger technology for digital securities. With these licenses, SDX can now offer the highest Swiss standards of oversight and regulation.”
The firm did not say when it expects the new product to launch or which assets it would allow investors to trade. However, the digital bourse could give a regulated alternative to crypto exchanges, many of which operate outside the confines of an established rule.
SIX would see this Swiss bourse get ahead of major exchanges like the New York stock exchange in offering securities based on the blockchain. It also said it would continue to invest in developing its technology over the coming months. The company adds that it hopes to attract clients including banks, insurance firms, and institutional investors. It aims to launch its exchange network globally.
Thomas Zeeb, Six’s global head of exchanges, has previously said the company plans to “offer stock in the form of digital tokens.”
“This is an important milestone in bringing the digitalization of capital markets into the mainstream, but it is only the beginning. We will continue to work with our clients, regulators, and other stakeholders to shape the market of the future,” commented Thomas Zeeb, Six’s global head of exchanges.
Binance, the world’s top crypto exchange has faced several warnings and threats from authorities around the world. Coinbase also attracted the ire of the US SEC. The SEC gave Coinbase exchange “Wells notice” for its Lend program. Coinbase CEO Brian Armstrong came down on the U.S SEC on Twitter calling SEC behaviour “Sketchy.”
