Securities trading blockchain

1. From the perspective of securities, why can blockchain become a disruptive technology
basically, it is the first blockchain solution that can be used by all the financial giants in the world. This is a private equity market. In this system, many start-ups can put the stock equity system in the architecture and trade. As we all know, many start-ups are delaying their IPO time more and more, resulting in more and more unicorns around the world. Indivials for unicorn, in fact, equity flow also has such demand, so NASDAQ thinks it is a very big blue ocean. They have built a blockchain based system in which these private equity can be easily registered and traded. NASDAQ has made a lot of efforts in this area, and completed the first transaction last year, and completed the equity voting system based on blockchain last year, so we can see that Nasdaq has made a lot of efforts in this area CCTV)
the only advantage of blockchain is that the information recorded above cannot be tampered with, and anyone can view it. European crowdfunding makes use of this feature of blockchain to make crowdfunding projects more open and transparent, and the flow of funds can be checked.

2.

first, define the

blockchain as an open network ledger. It originated from bitcoin and is the underlying technology of bitcoin. In bitcoin transactions, all the information of transaction records will be packaged into a "block" for storage. With the expansion of information exchange, one block links with another, forming a blockchain

Second, the digital currency represented by bitcoin is a point-to-point e-cash system. Among them, every transaction will broadcast to all participants in the network, and it will be recorded in the account book after repeated confirmation, which is called "blockchain". Each participant will have his own account book. In this way, when false information occurs, it can be broken through mutual verification, so as to ensure network security

in the blockchain, every node is equal, and there is no centralized management organization. This "decentralized" feature makes the blockchain do not need to rely on a third party, its operation does not need any human intervention, and it can independently conct self verification. In addition, the network of blockchain is open to the world, and anyone can query data through the public port, so the whole system is highly transparent

In a word, blockchain is a reliable database and a reliable "account book". In the future, it will be applied in cross-border payment, securities, loans, voting, etc. For example, in cross-border payment, with the security of blockchain, you can remit money to the world anytime and anywhere, which saves a lot of intermediate links and high fees

3. Of course, it's the same, different concepts, different subjects, as long as it's stocks, the rules and steps of trading are the same.

4. Jingdong Vientiane data platform (hereinafter referred to as Jingdong Vientiane) under Jingdong wants to protect the interests of both sides of data transaction and let data flow through blockchain Technology (using the basic structure of Ethereum). In short, JD Vientiane uses the blockchain technology to build an alliance chain, which turns the data into a protected virtual asset through the unchangeable characteristics of the past data of the blockchain, ensuring that every transaction and data has a certificate of authenticity. In other words, before the data transaction, JD Vientiane will confirm the right of the seller's data, clarify its ownership, and synchronize the right confirmation certificate to each node. Without permission, the data provider can ask for legal protection by illegally selling the data that does not have the right confirmation certificate, or the certificate does not match the blockchain right confirmation. This not only solves the concerns of data providers, but also solves the demand of data demanders to find compliant and legitimate data In China, blockchain has also attracted the attention of most domestic star enterprises. For example, China Post and IBM have cooperated to develop a blockchain asset custody system; Based on the blockchain technology, Puyin group launched the tea based digital currency Puyin.

5.

The application of blockchain technology in the securities instry can increase the flexibility of securities issuance. Companies issuing securities can adopt smart contracts, and even issue securities 24 hours in an ideal state by setting the way and time of securities issuance

under the operation of smart contract, the buyer and the seller are automatically paired, and the settlement and clearing steps are automatically completed through the distributed digital registration system. The transaction records on the blockchain will not be changed casually, so the information entered has the effect of publicity in practice, so there will be no dispute about the confirmation of ownership in the stock exchange

in addition, blockchain technology makes the securities trading process more open and transparent. Through the blockchain technology, the securities instry does not need core institutions to operate and manage, nor does it need investment banks to underwrite, so as to achieve real point-to-point transactions, rece the illegal activities such as the black box operation and insider trading in securities trading, and realize the effective supervision of the securities instry

6. In the traditional asset management such as equity and securities field, the process takes a long time in the cycle, which will lead to the increase of intermediate business cost, transaction fees, information fraud and leakage, and it is easy to have risks. Moreover, it is managed by different intermediaries, which improves the transaction cost of assets and brings the problem of certificate forgery. And then lead to the judicial insecurity and regulatory loopholes under the black trading. Using blockchain to upgrade securities trading to automatic execution of intelligent contract, based on its characteristics, that is, point-to-point transaction transmission, saving intermediate process and link, recing cost loss, and privacy and security of trading information, it can change the trading efficiency of stock market and realize privacy and security of information; However, in order to run normally, the intelligent transaction based on blockchain must comply with the legal regulatory framework, and the corresponding laws and regulations need to be issued from the regulatory level.

7. The changes are as follows:
1. Blockchain technology can realize the automatic transaction settlement of the exchange, bypass the third party, improve the transaction speed, rece costs, rece operational risks and human errors
2. At present, blockchain technology is mainly used for post transaction clearing services, as well as equity trading management in the OTC market, rather than the mainstream exchange market. The reason is that blockchain technology needs a lot of storage space and a long confirmation time, coupled with the limitation of transaction speed, it is not suitable for centralized floor trading
3. Because of its confidentiality and unchangeable characteristics, blockchain is suitable for securities registration and can rece the registration time
4. Blockchain technology is a double-edged sword for the exchange. On the one hand, it helps the exchange rece the operating costs and risks, and on the other hand, it also reces the income of the exchange in clearing (the decrease of settlement fees and the shortening of settlement cycle will rece the interest income of the custody bank and settlement company). Therefore, for the exchange, it is necessary to develop new data services to make up for the revenue after using the blockchain
of course, blockchain will also have some positive effects on traditional instries. Blockchain has had a positive impact on crowdfunding, banking and tea collection. Puyin group launched the tea based digital currency Puyin.

8. In the links of securities issuance, securities trading, securities clearing and settlement, more wonderful application problems can be focused on SMIC blockchain service platform for real-time understanding

9. Korea Stock Exchange (ksx), the only stock exchange in South Korea, has launched a new service "Korea venture market" to help start-ups' common stocks trade on the open market. The service is jointly launched by Korea Exchange and blocko, a Korean blockchain company, which has a blockchain service platform called coinstalk
coisteck platform will provide documentation and certification services for Korean venture market by detecting the list of reference customers submitted by some Korean banks, such as Quanbei Bank of Korea, as well as Korean Information Security Bureau, Lotte card, paygate and other institutions.

10. On January 22, 2019, AAX entered into a cooperation with the London Stock Exchange, which provides technology drive. AAX adopts the strongest matchmaking engine technology, Millennium exchange;. Using the mature, robust and scalable technology of the London Stock Exchange, AAX provides institutional level trading performance and reliability. Lseg technology provides solutions for the world's top traditional financial markets, including London Stock Exchange, Italian stock exchange, Johannesburg Stock Exchange and Singapore Stock Exchange. The London Stock Exchange Group

AAX will be officially launched on November 7, 2019. The official website of the London Stock Exchange also voiced support.