Goldman Sachs Announces GS DAP Digital Asset Platform Launch
By: Nick Steffen
Major headlines are coming in from none other than Goldman Sachs, this time around reporting that they have successfully launched their GS DAP digital asset platform. The platform has successfully issued a digital bond on the privacy-enabled blockchain Canton, developed on Digital Asset’s Daml smart contract language. The platform has been designed to be aligned with Goldman Sachs’ efforts to “help our clients realize the benefits of end-to-end digital lifecycle processing across tokenised assets, digital currencies, and other financial instruments,” noted by Mathew McDermott, global head of digital assets at Goldman Sachs.
This is very exciting news for the Security Token Market as a whole, as this makes for an institutional use-case that supports privacy between stakeholders, eliminates traditional transaction friction, and simultaneously enables scalability of transactions due to faster settlement and lower transaction costs. The tokenization platform Digital Assets has successfully enabled the reduction of typical bond issuance settlement times for European Investment Bank from T+5 to T+0 at a speed of sub-60 seconds with cross-chain atomic Delivery versus Payment (DvP) settlement.
In layman’s terms, this means that these institutional transactions happening across borders as well as internal transactions can settle at significantly faster rates using the implemented blockchain technology while maintaining privacy, security and accurate records on rights, obligations and cash flows in a fully automated process.
Overall, this is very exciting as Goldman Sachs’ efforts to pioneer the space at an institutional level will surely set off a chain reaction of tokenization efforts that will be followed by other institutions looking to scale and reduce costs/transaction times. The world of finance is changing right before our eyes day by day and before you know it, all transactions that can benefit from blockchain technology and tokenization will surely be tokenized and put on-chain. Until next time, see you on the other side of the blockchain and happy tokenizing!
Linkedin: Nicholas Steffen
Twitter: @tokennick
Disclosures; Nothing in the site constitutes professional and/or financial advice, nor does any information on the site constitute a comprehensive or complete statement of the matters discussed or the law relating thereto. All investments are highly speculative in nature and involves substantial risk of loss.
