The slides of the presentation I made in Paris, early November, during the www.bl0ckcha1n.com conference.

1. © finoryx 2015
Blockchain & Capital Markets
A cost-reduction opportunity ?
Olivier Roucloux
3rd November 2015

2. Welcome
Thanks to

3. Introduction
Are Capital Markets complex and expensive ?
 A bit costly but efficient
 Supports high volumes
 Prevent systemic risk
Average 20 messages exchanged per trade
So, why looking at the Blockchain ???

4. Raise of Alternative Finance
Crowdfunding becomes very popular, volume grows
But …
 Needs financial intermediary
 Use traditional unsuitable post-trade mechanism
 « lending » model (when it’s not gift)
 No shares (or rarely bonds) issuance
 No dividend distribution, no vote
More expectations
Investors want:
• Regular Returns
• Transparency & Trust
• Speed and Simplicity
• Involvement

5. Key Drivers

6. The Move is On…

7. Potential Solution ?
Let’s Imagine …
 A “proprietary” blockchain
 Launched by a major infrastructure, group of banks, …
 Configured using recommendation of market representatives
working groups and committees
 Mined by regulated market participants
 Using business standards edited by most recognized bodies,
implemented within autonomous smart contracts
 Accessible to all but with different access rights
 if you are an individual, a bank, a regulator, …

8. It could look like …
Market
Makers &
brokers
Exchange
& CSD
Custodian
Central
Bank
Regulator
Custodian
Custodian
Issuer
Crowd
funding
platform
 A single safe source of information (no reconciliation needed)
 Direct holding transparent model (direct communication between actors)
 Enforced competition between custodian banks on added value services
 Facilitated exchange of assets thru liquid stock exchanges
3rd Pty
service
providers
CSD
(CCP?)

9. Cost effectiveness

10. Question ?

11. Contact details
Olivier Roucloux
Vision & Product Strategy
Mobile : +32.470 / 24 12 04
olivier @ finoryx.com
Add me,
mention this conference
And ask questions …