Securities Platform for Stock Exchange in Israel

David Kemp

Tel Aviv keeps developing and prospering in many directions. This city is famous for its progressive approaches and methods that local research groups and scientists employ to achieve greater results in various spheres.

This includes IT technologies, software products, and platforms. From now on, the country will have the opportunity to obtain its very first central securities platform that will be launched in another three or four months.

As many mass media outlets suggest, the local stock exchange located in Tel Aviv is going to start its securities lending pool based on blockchain technology. Many participants are looking forward to seeing it in their lives – as a rule, this sort innovations enter the society’s life step by step and the developers might need to tell the nation more about all the advantages of the newly created platform as well as explain how people can benefit from its special features.

TASE’s official representatives informed that the platform might perform an essential function in the city’s capital markets. As many politicians admit, at the moment, the country lacks a central system that it could utilize for securities lending. The latest set-up is different in many aspects and, unfortunately, it cannot fully meet the requirements and expectations of thousands of investors.

In the executive’s opinion, the newly offered system will be based on blockchain technology and it will mainly focus on the majority of the activities linked to securities lending. It will keep them all under one wing and permit direct borrowing among numerous investors. They will be capable of trying them out across a whole spectrum of most essential financial instruments.

Testing and Trial for Better Understanding

Just about four months ago the mentioned exchange decided to launch a testing environment to see how the new platform would function and operate. According to the creators, they wish to see how participants would perform loan transactions and whether their system is efficient enough for these purposes.

They will analyze the results and will adjust the exchange and its systems in a few months when the run-up approaches. At the same time, the exchange’s officials point out that they understand the value that blockchain boasts. For example, one of their main interests is the feature allowing support for P2P transactions.

Many participants pay attention to smart contract functionality. No doubt, transaction security has been increased thanks to the immutable quality of blockchain. TASE reports that all the above-mentioned points allow the company’s clients to function and work at more affordable costs. More than they, members will receive a much stronger level of security.

Crypto market analysts emphasize that blockchain technology will allow securities lending trading and, which is of great importance, the system will boost up the number of transactions. The stock exchange started the project over two years ago. Back then, the group announced the development of the new system.

Many industry leaders say that it’s quite a positive change that the organization has been collaborating on the recent project with brands that fully rely on Accenture. They are also in tight contact with Intel. There is another participant that needs to be mentioned and that is the local fintech called The Floor.