HQLAx (High Quality Liquid Assets) has raised $17.5 million from a group of financial giants to develop its transformational technology. Some of the institutions involved in the funding include BNY Mellon, CitiGroup, Deutsche Borse Group, Goldman Sachs, and Paribas Securities Services.
Since the HQLA platform debuted in early 2019, several banks like Credit Suisse have been using It with no hitch. Other banks that have successfully used the HQLA platform include Commerzbank, UBS, and the Dutch bank ING. Top financial institutions leverage the HQLA blockchain platform in swift intraday transaction settlements. HQLA provides solutions to the disruption in the flow of collateral in the global securities market. The HQLA blockchain eases the process of changing ownership on its digital collateral register.
Another advantage of leveraging the HQLA blockchain for transactions is its transparency.
The global head of digital assets at Goldman Sachs, Mathew McDermott, said:
“Having something that can atomically settle and remove some element of the performance risk has huge value for the broader system.”
Furthermore, a report by Cryptodaily noted that HQLA leverages R3 Corda technology and uses digital collateral records to sort real-time ownership transfer of securities. Also, HQLA’s state-of-the-art technology helps to bring market participants together while adhering to regulations for liquidity in the European market.
The report also added that HQLA has been focused on the European market. However, the financial technology innovation firm would need to extend its use.
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