The Santiago Exchange is partnering with technology giant IBM for the solution, which will be based on the open source Linux Foundation’s Hyperledger Fabric.
In a joint statement on the partnership, IBM and the exchange pledged that the solution will be widely available to support multiple parties across the country’s financial industry ecosystem this year.
According to the statement, the solution is designed to help reduce errors, possible fraud, and processing time for each transaction, while also improving transaction management and lowering costs.
In the case of the Santiago Exchange, the solution will result in significant time savings for the back-office processes.
Andrés Araya, CIO of Santiago Exchange, said: "The stock exchange is a technologically advanced company, which provides the infrastructure and systems for all types of securities transactions and their clearing and settlement.”
“The stock exchange also provides information services and management systems for intermediaries. Incorporating blockchain into our business processes is in line with that purpose and positions us as a forerunner in the financial market.”
IBM Chile general manager, Francisco Thiermann, added: "Our agreement with Santiago Exchange marks another new era of innovation in the stock market. Santiago Exchange is a pioneer in its industry, and the blockchain adoption establishes a transformational precedent in the financial market, not just in Chile but in this region and the world."