Canada’s central bank, Toronto Stock Exchange operator TMX Group, and non-profit organization Payments Canada, completed tests showing blockchain can be used for instantaneous securities settlements, Reuters reports today, May 11.
The three companies concluded that blockchain, the technology originally developed for cryptocurrencies such as Bitcoin (BTC), is usable for automating securities settlements in real time. Both cash and assets can effectively be “tokenized” for instant exchange. The blockchain pilot, dubbed “Project Jasper,” was first announced in 2016, and its latest phase launched late last year. However, Bank of Canada Senior Special Director Scott Hendry, has voiced doubt as to the advantages the system could offer in terms of cost savings.