Welcome to SIX Digital Exchange, the world’s first fully regulated stock exchange and central securities depository (CSD). SDX is revolutionizing the way financial markets operate, providing a seamless and secure platform for traders, broker-dealers, bankers, and corporations to explore the world of digital assets.
Today’s well-established markets infrastructure has proven its efficiency and resilience over time. However, we recognize that certain areas still present challenges, including potential risks, cost considerations, and complexities that may hinder the realization of the next phase of sustainable market interaction and automation.
We believe in leveraging innovative solutions to address these limitations and create an environment that fosters seamless market growth and automation. With the evolvement of Distributed Ledger Technology and the Web3 transition, we now have the opportunity to overcome these barriers and unlock new possibilities for market development.
Through collaboration with capital market participants, we are building an ecosystem that redefines the future of financial markets infrastructure. Our state-of-the-art proposition empowers you to harness innovation, create groundbreaking products and shape the future of finance.
SDX recognizes the transformative potential of digital assets and is dedicated to providing a reliable infrastructure that fosters liquidity, transparency, and efficiency in the digital securities ecosystem. Since going live in Q4 2021, SDX has been actively collaborating with partners and our current CSD members UBS, Credit Suisse, Zürcher Kantonalbank, CM Equity, BEKB, and Kaiser Partner Privatbank. Together, we are committed to promoting and building a new market infrastructure for digital assets on a global scale. Whether you are an issuer seeking to tokenize your assets, a trader looking for a secure and transparent marketplace, or an investor interested in accessing digital securities, SDX is here to support you. Together, we can unlock new opportunities and drive the growth of this dynamic market.
SDX is building a robust infrastructure based on DLT blockchain technology to enable the issuance, trading, settlement, and custody of digital assets. By eliminating intermediaries and streamlining processes, digital assets can significantly reduce settlement times, improve liquidity, and lower the costs associated with traditional financial transactions. SDX’s infrastructure provides efficiency, transparency, and security for financial market operations.
SDX supports various types of digital assets, including tokenized securities and cryptocurrencies. By digitizing these assets, SDX aims to enhance liquidity, increase accessibility, and unlock new investment opportunities.
SDX brings immediate value by removing the manual processes present in today’s market through its automatic registration function. When predetermined conditions are met, Smart contracts can be automatically integrated into digital asset platforms, reducing all the costs associated with the manual processes.
SDX is operating within existing regulatory frameworks to ensure compliance and provide a trusted environment for digital asset transactions. It is regulated by the Swiss Financial Market Supervisory Authority (FINMA) and adheres to strict legal and compliance standards.
The tokenization of bonds/shares happens via the creation of uncertificated securities becoming intermediated securities by entry into the main registry on SDX’s distributed ledger. From a legal point of view, there is no difference between a digital and a traditional bond. The “digital” refers to the Distributed Ledger Technology (DLT) behind the main registry which SDX is operating as a FINMA licensed Central Securities Depository.
SDX guarantees an immutable record of transactions, providing increased trust and accountability.
SDX’s CSD based on blockchain technology enables efficiency gains through atomic settlement, peer-to-peer transactions, reduction of settlement risk and automation of Corporate Actions.
SDX’s infrastructure based on DLT enables atomic settlement, which eliminates counterparty exposure and risk since the delivery and payment legs of the transaction occur simultaneously. The trading venue checks with the DLT-based Central Securities Depository if the participants have enough tokenized assets or tokenized cash available for the transaction before confirming it.
SDX enables cost savings in risk management as no counterparty risks need to be managed after the trade is completed and reduces costs for onboarding and maintaining credit lines.
As part of SIX, one of Europe’s leading financial market infrastructure providers, we adhere to the highest operational and security standards. We understand the importance of customer protection, a clear governance framework, and regulatory obligations in the digital asset space.