The Australian subsidiary of market operator Chi-X called on the Australian Competition and Consumer Commission (ACCC) to investigate the possible effects of blockchain tech on trading activities.
Clearing House Electronic Subregister System (CHESS) will be replaced by ASX with a new blockchain platform for its registry, clearing and settlement activities.
Michael Somes, the general counsel of Chi-X, said that the blockchain system will render already present problems worse:
“There’s a substantial moat around the ASX clearing and settlement business… And the CHESS replacement project is perhaps making it bigger. […] It would be very difficult for the competition to bridge that moat – I’m not saying it won’t happen… but it needs to be regulated as if it won’t.”
Michael Somes further added that there should be a legislative framework allowing the ACCC to intervene.
Chi-X Australia is ASX’s sole competitor and its only client, that is relying entirely on ASX for clearing services.
Blockchain and stock exchanges
On Oct. 16 cryptonewspoint reported that Binance, the Cryptocurrency Exchange, has launched a dedicated exchange-traded product (ETP) for Binance Coin (BNB) on a Swiss Stock Exchange. Binance confirmed that the BNB ETP would trade on the SIX SWISS Exchange from October 15.
Moreover, Iconic, a German startup is attempting to list a Bitcoin (BTC) derivative product on the Frankfurt and Luxembourg stock exchanges.
On October 29, according to Handelsblatt, a German Business News Daily, Iconic has filed a prospectus for regulated trading of a Bitcoin exchange-traded note (ETN), which could become available as soon as the beginning of December 2019.