Daiwa Securities to Trial Security Tokens on Public Blockchain

Daiwa Securities, Japan’s second largest broker behind Nomura, plans to trial the issuance and trading of security tokens on a public blockchain. Japan is one of the most active jurisdictions for digital securities issuance. Daiwa Securities says it has underwritten 22.6 billion yen ($153 million) in asset backed security tokens, giving it the biggest share in value terms.
 
So far most Japanese digital securities have been issued on consortium blockchains, with Progmat and BOOSTRY proving popular. Notably, Daiwa is not an investor in either platform. Nomura founded BOOSTRY, which has backing from Nomura Research, SBI and Tokyo Stock Exchange operator JPX. MUFG initiated Progmat and is now a separate entity with investment from JPX, SBI, Mizuho, SMBC, Sumitomo Mitsui Trust and others. 
 
Daiwa says it wants to trial public blockchains to enhance transparency and interoperability. There have been several other public blockchain issuances, including by Societe Generale, Santander, the European Investment Bank, Siemens and ABN Amro.
 
For the collaboration, Daiwa Securities will partner with web3 development and wallet firm Ginco and Daiwa’s fintech subsidiary Fintertech.


Source: Ledger Insights