The Securities and Exchange Commission (SEC) has approved Boston Security Token Exchange to offer blockchain-powered pricing and market data. This development represents the first time the SEC has given the nod to a national securities exchange built on blockchain technology.
The recently-approved initiative is a joint venture between the Boston Options Exchange (BOX) and tZero, a crypto tokenization firm. The primary focus is to provide customers with a market and price feed while using blockchain tech for its settlements and market data.
According to an SEC notice from last week, the nod of approval from the Commission came about after a protracted review process.
BSTX Board Member and tZERO Interim CEO, Alan Konevsky expressed delight at the development saying:
“This is a watershed event in the digital evolution of the securities markets and the trading experience. With BOX Digital’s experience in building and operating a sophisticated securities exchange and tZERO’s industry-leading blockchain technology innovation, we have brought together our organizations’ combined expertise to drive innovation.”
BSTX will function as the listing market for eligible companies and issuers of exchange-traded products. Furthermore, according to a statement, the BSTX blockchain product will look to conclude transactions no later than a day after.
BSTX will also offer streamlined services to early-stage companies while making access available to other companies and assets.
Image Credits: Pixabay
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