Hong Kong Exchanges and Clearing Limited (HKEX) has partnered with Digital Asset, a blockchain company to accelerate the post-trade process, reports the Finextra financial news agency on October 31st.
HKEX worked with Digital Asset to test a prototype system "in an attempt to accelerate the post-trade process and reduce regulation risk". According to Finextra, the system was tested by HKEX and the Shanghai and Shenzhen stock exchanges in a collaboration called "Stock Connect".
The Stock Connect project allows international and Chinese investors operating on the continent to exchange in their respective markets through the platforms of their domestic platforms to improve the efficiency of operations in the north.
According to the report, the parties are now planning to release a comprehensive service platform that aims to solve the problem of time zone discrepancies and other settlement and operational problems for merchants headed north through Stock Connect arising "due to the cycle tight settlement for mainland China, China trades. "
Last week, HKEX published a report proposing cryptography and blockchain to be regulated in accordance with existing regulatory frameworks. In the report, the exchange emphasized that the blockchain, along with artificial intelligence (AI), should fall under the securities regulations rather than in areas such as banking, financial on the Internet or digital currencies.
In early September, anonymous sources revealed that HKEX actively sought to acquire blockchain companies and other technology sectors due to problems with trade connections with Chinese exchanges.