SmartCon Viewpoint | The unification of securities trading, settlement certificates, data, and regulatory standards will help further improve the liquidity of collateral, and asset tokenization is expected to usher in rapid development with the help of currency tokenization.

On the second day of Chainlink's annual flagship conference, SmartCon, during the roundtable discussion "Collective Liquidity: Optimizing Liquidity and Efficiency with Intraday On-Chain Solutions," Aviad Stein, Global Head of Digital Asset Solutions at Broadridge Financial, Lamine Brahimi, Co-founder of Taurus, Nadine Chakar, Global Head of Digital Assets at DTCC, and Ryan Rugg, Head of Digital Assets at Citibank, discussed how on-chain tools can unlock dynamic liquidity in the $25 trillion global collateral market, enabling institutions, market makers, and DeFi participants to optimize liquidity in real time. Taurus co-founder Lamine Brahimi believes, "The first step should be to establish a custody platform, followed by a tokenization platform. The key lies in communication and cooperation between clients, allowing some global fund custodians to trade securities on the secondary market without transferring funds out of the custody platform." Nadine Chakar, Global Head of Digital Assets at DTCC, points out, "This isn't really a technical issue, but a fundamental market structure and trust issue. Issues such as the finality, enforceability, and legal recognition of settlement are particularly important. Although DTCC is working with SWIFT, data standards and regulatory standards are crucial for improving interoperability." Ryan Rugg, Head of Digital Assets at Citibank, shared Citibank's progress in asset tokenization, mentioning, "Citibank will launch 'Citibank Tokenization Service' for the four major global currency centers: the US, UK, Hong Kong, and Singapore. More branches and currency tokenization will be launched later this year. Currently, nearly 100 clients are operating on the platform, processing billions of dollars in liquidity daily, although this is still relatively small compared to Citibank's daily average of 4-5..." A transaction volume of trillions of dollars still represents a small percentage, but achieving this given the current compliance environment is a good start. This service will continue to expand rapidly over the next one to two years.