DLT

UBS Asset Management has expanded its digital asset capabilities with the launch of the “UBS USD Money Market Investment Fund Token” (uMINT), a tokenised money market product built on Ethereum’s distributed ledger.

Luxembourg has proposed a groundbreaking law enabling the use of blockchain technology in investment funds, aiming to solidify its position as a global financial leader.

With its DLT white paper released in January, supervisor CSSF has triggered a broad industry debate on the use blockchain technology to adopt virtual assets, and about public versus private blockchains. The discussion is seen as positive, and, according to one industry expert, could pave the way “for mass adoption of asset tokenisation”.

Digital assets are the talk of the Luxembourg financial centre and across Europe, with Mairead McGuinness, the European commissioner for financial services emphasising how the financial sector digitalisation can provide better access to products and services. New regulation is on the way to allow providers to build up the trust they need to overcome the negative publicity that has been attached especially to cryptocurrencies. 

Companies active in Luxembourg are at the forefront of harnessing digital assets in service of the financial industry. 

The emergence of distributed ledger technology (DLT), of which blockchain is a form, could bring about a shift from a platform economy to a protocol economy. In this, data is the key to the economy, explained Ralph Wessels of ABN Amro in an article published by his employer on tokenisation, part of a three-part series on cryptocurrencies published by the bank.