In 1792, about 24 stockbrokers and merchants gathered in lower Manhattan under a buttonwood tree to sign an agreement that would allow them to trade with each other at a set commission. This became known as the Buttonwood Agreement and marked the foundation of the New York Stock Exchange (NYSE).
Fast forward over 200 years — markets like the NYSE and Nasdaq are dominated by innovative companies such as Amazon (NASDAQ: AMZN) and Apple (NASDAQ: AAPL). But the exchanges themselves have undergone few transformations.
Financial markets today are still built around the idea of a paper stock certificate. Clearing, settlement and custodians require expensive, complicated back-office processes that take 2 full days. Much of the work is manual and at high risk for errors and inefficiencies.
How Blockchain can Improve Financial Markets
Since Bitcoin’s (BTC) inception, blockchain’s potential for improving the way organizations store and…