FundsDLT: birth of an Ethereum blockchain for investment funds

Financial players, including Clearstream, Swiss credit and Natixis, come together around FundsDLT, a blockchain dedicated to the industry Investment Funds. A fundraiser was carried out to finance the decentralized platform based on Ethereum.

The finance remains the preferred field for the creation of blockchain consortia, as for example in the field of trade finance. Clearstream, Credit Suisse Asset Management, the Luxembourg Stock Exchange and Natixis Investment Managers however target a more specific market.

The partners have indeed announced a fundraiser (Serie A) intended to finance FundsDLT, a company and technological platform based on blockchain for the industryinvestment. For FundsDLT, this is a new step.

Management of the entire life cycle of funds

The startup has so far been incubated by the Luxembourg Stock Exchange and its subsidiary Fundsquare. The arrival of investors from the world of finance will allow him to enter a phase of marketing of the platform.

FundsDLT is based on a permissible blockchain based on Ethereum, which is therefore supposed to meet the challenges of confidentiality and of performances investment players. The platform meets the needs of this industry: Reengineering the value chain of fund distribution and covering the entire life cycle of funds.

Platform enables asset managers, distributors, asset service providers and the entire supply chain to reduce costs by eliminating redundant activities, while providing the opportunity to achieve transparency necessary on the end investors and to create the bases of the digital distribution of funds, ”detail the shareholders.

A new generation of market infrastructure

For the Director of Operations Natixis, Joseph Pinto, FundsDLT is part of the digital transformation of the sector. Blockchain also has the advantage of meeting the challenges of transparency and speed expected in the management of investments

If FundsDLT now has international finance partners on its management committee, the objective remains for the company to develop its clientele and more broadly its ecosystem.

Olivier Portenseigne, Managing Director of Fundsquare, therefore welcomes the deployment of a " new generation of market infrastructure And invites other fund managers, distributors and asset managers to join the platform.