Global fintech company Broadridge’s blockchain-based repurchase agreement (repo) platform has been handling an average of $31 billion in trading volume a day since its launch last week.
- Transactions on the platform launched June 7 originate mostly with banks in the U.S. and Europe, according to a press release on Monday.
- Repos are short-term loans in which one institution sells securities to another with the agreement to buy them back at a slightly higher price.
- The platform was built on the VMWare blockchain using the DAML programming language. Horacio Barakat, Broadridge's head of digital innovation, said it was built to be interoperable with other ledgers, though not public blockchains such as Ethereum because many of those blockchains don't have the scalability to manage the required volume.
- Distributed ledger technology has also been harnessed for repo trades by investment banking giant JPMorgan, whose blockchain arm Onyx developed a platform in December to complete live intraday transactions.
CORRECTION (JUNE 15, 15:00 UTC): Corrects headline figure to billion from million
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