Spain's securities markets watchdog and a group of financial institutions including Banco Santander have completed a blockchain pilot aimed at testing the tech for registering stock warrant issuances.
The year-long Fast Track Listing (FTL) project saw participation from the Spanish National Securities Market Commission (CNMV) as well as banks such as Banco Santander, BBVA, BNP Paribas, CaixaBank, Commerzbank and Société Générale.
The idea is that shared databases can be used to more effectively register information about the issuance of warrants – contracts bearing the right to purchase new shares at a certain price before they expire – and filter that data to all parties. According to Banco Santander, the pilot showed that the time to register a warrant issuance was cut by more than 70 percent using the pilot platform.
Initial results from the test were promising, the group indicated, setting the stage for further proofs-of-concept around the technology.
"After obtaining such good results, CNMV has decided to continue exploring the possible uses of this technology in its processes and carry on with the project. BME and all the national warrant issuers (BBVA, Caixabank and Banco Santander), as well as international warrant issuers (BNP Paribas, Commerzbank and Société Générale), are also actively contributing to this project," according to statements.
Banco Santander bank image via Shutterstock
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is an award-winning media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. In November 2023, CoinDesk was acquired by Bullish, a cryptocurrency exchange, which in turn is owned by Block.one, a firm with interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets including bitcoin and EOS. CoinDesk operates as an independent subsidiary, and an editorial committee, chaired by a former editor-in-chief of The Wall Street Journal, is being formed to support journalistic integrity.