DTCC Explores Layer-1 Blockchains to Move Dividend Payments Onchain

Frank La Salla said DTCC is working with multiple high-performance layer-1 blockchains and plans July testing followed by an October rollout for its tokenized securities platform handling corporate actions.

Summary

Frank La Salla, chief executive of the Depository Trust & Clearing Corporation (DTCC), said the clearing giant is working with multiple high-performance layer-1 blockchains to move corporate actions such as dividend payments and tender offers onchain. He said DTCC processes millions of dividend payments daily, underscoring the scale of the effort. La Salla added that DTCC plans to test its tokenized securities platform in July, with a broader rollout targeted for October, marking a more defined timeline for the initiative.

Terms & Concepts
  • Layer-1 blockchain: A base blockchain network that processes and records transactions directly on its own chain.
  • Onchain: Recorded and processed directly on a blockchain network.
  • Tokenized securities: Traditional securities represented digitally on blockchain infrastructure, allowing their issuance or management through blockchain-based systems.