The Thai Bond Market Association (TBMA) is getting all set to deploy a blockchain powered solution on its registrar service platform.
The registrar service platform is scheduled to be sprung this year, pursues to provide a faster bond certificate issuance and in turn, expand the liquidness of the secondary market, as clarified by TBMA president Tada Phutthitada.
According to Mr.Tada, the platform might reduce the bond issuance time from the existing 20 days to 5 days. While market liquidness has been on the increase, the issuance of bond certificates still goes at an inactive pace, which might cause limits to the growth of corporate bonds in the subordinate market.
The TBMA president revealed that the modernized registrar platform is set to be executed to the regulatory sandbox by the end of 2018, and would become the first fintech deal that is being functional to both regulatory sandboxes at the Thai Securities and Exchange Commission (SEC) as well as at the Bank of Thailand (BoT).
The platform will be founded on a smart contract platform which makes the use of a private blockchain, which would give users with a digitized settlement database, a bond subscription system, and bond transaction confirmation. It would also let the issuers, controllers, corporations, and depositors to have a connection with interest rates, payments, and other bond data.
The TBMA will keep on emerging the platform, ultimately, launching Bond Coin which is a clearance and reimbursement system to be worked at the start of 2019.
The normal trading value of business bonds in the unimportant bond market has seen important growth over the past seven years, reaching 7 billion in 2017, up from 6 billion (about $130 million) in 2016 and 650 million ($24 million) back in 2011.
As per the news published in Coin Telegraph, TBMA’s executive vice-president Chaitat Prachuabdee also revealed that the company is now extremely seeing the notion of introducing its own utility settlement coin to back the digitized bond system.[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]