FA Solutions is developing a secure and automated solution for trading non-listed securities. The solution enables its participants to trade and settle transactions without a need for a third party.
The idea is to connect the participants using a permissioned blockchain network, which would facilitate the secure and efficient exchange of transaction information. Trades are agreed using a smart contract technology enabling a single truth of ownership of securities. Thus, the shareholder registry is maintained within the network.
The developed solution is a combination of an existing investment management system (FA Platform) and R3 Corda (an open source blockchain platform). FA Platform is an established platform used globally by financial institutions, and Corda is widely adopted in the financial industry as a defacto standard for blockchain-based applications. FA Solutions combines these two leading technologies to build a practical solution to make financial markets more efficient.
“We want to be on the cutting-edge of development in the financial markets. In addition to our own R&D on the blockchain technology, we are also actively participating in other international initiatives around blockchain to discover real-world business applications.” says Juha Lehtonen, Head of Product Development at FA Solutions.
“FA Solutions has been invited to participate in projects run by central banks and other, which most of them are mainly trying to find out a real business case. Our main focus is to productize this further with our partners and customers, for example in the fund distribution area.” says Hannes Helenius, Partner at FA Solutions.