|Headquarters||New York, New York|
|Key People||Mike Bodson, CEO; Robert Palatnick, CEO|
|Products||Depository, clearing and settlement services for corporate securities|
Depository Trust & Clearing Corporation (DTCC) is a U.S. holding company formed in 1999 to combine the Depository Trust Company, the National Securities Clearing Corp. and three other units providing post-trade services to exchange-traded and over-the-counter securities. DTCC, through its subsidiaries, provides clearing, settlement and information services for equities, corporate and municipal bonds, government and mortgage-backed securities, money market instruments and over-the-counter derivatives. In addition, DTCC processes mutual funds and insurance transactions, linking funds and carriers with their distribution networks. DTCC's depository provides custody and asset servicing for 2.8 million securities issues from the U.S. and 107 other countries and territories, valued at $36 trillion.
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In January 2016 DTCC called for a technology-driven reform of the securities and settlements system with the publication of a paper “Embracing Disruption – Tapping the Potential of Distributed Ledgers to Improve the Post-Trade Landscape.” DTCC asserted that distributed ledger technology might enhance operations, mitigate risks and lower post-trade costs.
DTCC announced in January 2017 that it was working with IBM and others on a project to apply blockchain technology to processes in the issuance and post-trade processes in the credit default swap market.
DTCC joined with Accenture, Digital Asset and R3 to study the viability of blockchain technology in securing stock settlements in the United States. On October 17, 2018 DTCC announced that the study had shown that blockchain could be used to settle more than 100 million trades per day.
In November, DTCC announced that it had begun the testing phase of a distributed ledger and cloud project for credit derivatives, which may replace its current credit derivatives platform, Trade Information Warehouse. According to DTCC, the project involved 15 of the world's largest banks. The project is a collaboration between DTCC and other members of the Hyperledger project, including IBM and R3.
In April 2019, at the Fintech Symposium hosted annually by DTTC, the only two panels at the event focused on cryptocurrency and the potential use cases of blockchain. Both panels featured DTTC speakers.
In February 2020, the DTCC published a white paper recommending the creation of a comprehensive security framework specific to distributed ledger technology (DLT), as well as an Industry Consortium for conducting research and creating best practices for risk management and oversight, cybersecurity, third-party management, and incident response in the DLT sector. The white paper said that DLT has the potential to produce technological advances such as "strengthened identity measures, improvements in information preservation and data integrity, processing efficiencies, increased operational capacity, and compliance effectiveness." Because of this, it argued, better standards to ensure interoperability between DLT applications and non-distributed ledger technology were necessary.
- New DTCC White Paper Calls for Leveraging Distributed Ledger Technology to Solve Certain Long-Standing Operational Challenges. DTCC.
- Linux Foundation’s Hyperledger Project Announces 30 Founding Members and Code Proposals To Advance Blockchain Technology. Hyperledger.
- IBM Partners With Wall Street to Bring Blockchain to CDS Market. Bloomberg.
- DTCC Test Shows Blockchain Can Support 100m Trades Per Day. Finance Magnates.
- DTCC Enters Test Phase on Distributed Ledger Project for Credit Derivatives with MarkitSERV & 15 Leading Global Banks. DTCC.
- DTCC begins testing DLT platform for credit derivatives. Finextra.
- DTCC begins testing DLT platform for credit derivatives. Bloomberg.
- DTCC Seeks Blockchain-Focused Security Framework for Financial Sector. Cointelegraph.