I spent some time reading through the 21X partnership details tonight, and the more I sat with it, the more it became clear this isn't just another integration announcement.
21X holds the DLT TSS license, the first company in Europe authorized to combine trading and settlement into a single system on a public, permissionless blockchain. Dusk got onboarded as a trade participant, with DuskEVM planned as one of their supported chains.
My first thought was that this just means faster settlement, real time instead of the usual multi day process. But trading and settlement have historically been kept separate for a reason, and collapsing them into one atomic step raises a real question about what happens to the protections that separation used to provide.
The security assumption question matters here too. What exactly is being verified at that single combined step, and where does the actual risk sit once two functions merge into one.
Right now I'm still working through this, so I don't want to claim I've fully mapped it out.
For anyone who's followed traditional securities settlement more closely, does merging trade and settlement on chain actually reduce risk, or does it just move that risk somewhere less visible?
@Dusk_Foundation #DUSK $DUSK
21X holds the DLT TSS license, the first company in Europe authorized to combine trading and settlement into a single system on a public, permissionless blockchain. Dusk got onboarded as a trade participant, with DuskEVM planned as one of their supported chains.
My first thought was that this just means faster settlement, real time instead of the usual multi day process. But trading and settlement have historically been kept separate for a reason, and collapsing them into one atomic step raises a real question about what happens to the protections that separation used to provide.
The security assumption question matters here too. What exactly is being verified at that single combined step, and where does the actual risk sit once two functions merge into one.
Right now I'm still working through this, so I don't want to claim I've fully mapped it out.
For anyone who's followed traditional securities settlement more closely, does merging trade and settlement on chain actually reduce risk, or does it just move that risk somewhere less visible?
@Dusk_Foundation #DUSK $DUSK