Ironlight Markets, under the leadership of CEO Robert McGrath, has received approval from the Financial Industry Regulatory Authority (FINRA) to operate an Alternative Trading System (ATS) in the United States. This approval, granted on October 29, will allow Ironlight to facilitate trading in both traditional and tokenized securities.
This development represents a significant advancement for regulated tokenized markets, with the potential to reshape institutional trading and on-chain settlement procedures. However, no immediate market reactions have been observed.
FINRA Approves Ironlight's Innovative On-Chain Settlement System
The newly approved system is designed to offer instant on-chain settlement, executing trades in under 20 microseconds. Initially, the system will focus on private lending, venture capital, and alternative assets, with the goal of promoting the regulated tokenized market.
"FINRA's approval confirms Ironlight's leadership in building the first open-access, institutional-grade marketplace for tokenized assets. By delivering atomic settlement and sub-20 microsecond trade matching, we're removing friction from the legacy clearing process and creating a direct bridge between the U.S. financial system and blockchain technology." - Robert McGrath, CEO, Ironlight Group
Ironlight Becomes First U.S. ATS Offering Atomic Settlement
Ironlight Markets is distinguished as the first U.S. ATS to provide atomic on-chain settlement for both traditional and tokenized securities. This approach is novel compared to similar platforms such as INX and tZERO.
Ironlight's entry into the tokenized asset space follows explorations by platforms like INX and tZERO, but Ironlight places a strong emphasis on atomic settlement. The potential financial outcomes from this system could streamline trading processes and introduce greater liquidity into alternative investment sectors.
Ironlight Markets receives FINRA approval to operate an ATS, enabling trading in traditional and tokenized securities with atomic on-chain settlement. This is a major step for regulated digital asset markets.
— Ironlight Markets (@IronlightMkt) October 30, 2023
Although no specific tokens are currently affiliated or impacted by this approval, it signifies a key innovation within the securities market. Ironlight's strategy aims to bridge the gap between fintech and traditional finance, potentially influencing future financial regulations and innovations.