Etrading launches digital asset tracking based on new ISO standard
The DTI Foundation has proactively issued identifiers for the top 100 cryptocurrencies by market capitalisation, thereby enabling all major cryptocurrencies to be tracked, including bitcoin, ether, Tether, and Ripple’s XRP.
Etrading Software has launched the tracking of all digital assets on a global basis with a service that issues identifiers for tokens based on the new ISO standard.
ISO has selected Etrading Software to be the Registration Authority for this standard: Digital Token Identifier.
The new service is complementary to the existing ISO standard for tracking counterparties to a trade via the Legal Entity Identifier (LEI) and was designed by the same committee that has defined the ISO standard for the Unique Product Identifier (UPI) for tracking all OTC derivatives.
Both the LEI and the UPI have been recommended by the Financial Stability Board to be used for regulatory reporting of trades across the G20 to enhance risk management and increase transparency in traditional capital markets.
Dominique Tanner, Chairman of ISO/TC 68/SC 8, commented: “ISO 24165, can be used by investors, exchanges, data aggregators, ecosystem participants, regulators and issuers, who can now submit an application to register a fungible digital token and receive a DTI, which is a random, unique and unambiguous identifier. Registration eligibility for the DTI is based on objective and verifiable information provided by the applicant. This will help the market identify different tokens that may be exchanged, aggregated, listed, or tracked.”
Sassan Danesh, Managing Partner of Etrading Software, said, “We are delighted that the new DTI has begun work, helping industry uniquely identify digital assets based on objective, verifiable information. This is an important step for the industry in being able to identify digital assets, in a standardised way and reduce ambiguity, increasing transparency and consistency, enabling further global interoperability and lower the bar for greater institutional investment in this burgeoning asset class.”
The Digital Token Identifier (DTI) is a key building block to upgrade the financial market plumbing to process digital asset trades safely and with appropriate oversight.
Until now, such monitoring and tracking was impossible due to the lack of available ISO standards for digital assets, according to the announcement. The DTI is useful for both market participants and regulators.
Market participants can uniquely identify a given digital token thereby increasing transparency for market participants and reducing operational risk.
Regulators can monitor digital asset trades for anti-money laundering / combating terrorist financing requirements and also for monitoring systemic risks arising from the trading of global stable coins and other digital assets.
The DTI Foundation has proactively issued identifiers for the top 100 cryptocurrencies by market capitalisation, thereby enabling all major cryptocurrencies to be tracked, including bitcoin, ether, Tether, and Ripple’s XRP.
There are plans to issue additional identifiers as required by market participants and regulators, with global stablecoins being a priority area given their potential systemic impact, they stated.
