I recently had the privilege of speaking on the Evolving Markets and Technology panel at the 2025 Financial Markets Quality conference in Washington, DC. Hosted by Georgetown University’s Psaros Center for Financial Markets and Policy, this event brings together brings together global leaders, policymakers, and scholars to discuss technology and transformation in the financial markets. It was an incredible opportunity to share thoughts on the future of markets, the transformative role of technology and the importance of regulatory frameworks.
The Symbiotic Relationship Between Technology and Financial Markets
Technology has always been integral to the evolution of financial services, from the early days of electronic trading to the current advancements in blockchain and tokenization. The financial industry has consistently embraced new technologies to enhance efficiency, improve price discovery and ensure market integrity.
For example, at DTCC, we’re actively exploring the use of blockchain and tokenization to modernize financial markets. This involves assessing how distributed ledger technology (DLT) can reduce risk, potentially decrease friction and cost and enhance the efficiency, transparency and security of market infrastructure. DTCC has been engaging in pilot projects and collaborative initiatives with other major financial institutions to test the functionality of blockchain for post-trade processes, such as settlement and clearing.
One of those projects was the recent Great Collateral Experiment, which we conducted in April. This was a live, industry-wide demonstration of how new technology can transform how we manage collateral in financial markets.
Working with several key partners, we built a collateral management platform using Hyperledger Besu—a type of blockchain—designed specifically to handle collateral more efficiently. What makes this experiment unique is that it operates around the clock, allowing for real-time settlement and movement of both traditional and digital assets, no matter where they are in the world.
One of the most exciting aspects is the potential for enhanced liquidity. By enabling instant collateral transfers across time zones and markets, we can unlock trapped capital and make it easier for banks and institutions to access and move collateral globally.
Ultimately, this experiment demonstrates how DTCC is working to unify traditional and digital finance, paving the way for a more efficient, transparent and secure marketplace for everyone.
The Importance of Regulatory Frameworks
Regulatory fragmentation can impede the smooth flow of capital across markets, making it essential for the industry to work towards harmonizing regulations globally. From my perspective at DTCC, I have seen firsthand how differing regulatory standards can create unnecessary friction, slowing down transactions and complicating cross-border activities. That's why I believe that greater alignment among global regulators is not just desirable, it’s critical for supporting efficient and resilient financial markets.
Smart regulation is critical in fostering innovation. Well-designed regulatory frameworks can act to advance innovation, enabling the financial industry to adopt new technologies while maintaining market integrity. In my experience, when regulators strike the right balance, they're able to encourage the responsible exploration of new technologies like blockchain and tokenization, without compromising the safety and security of our markets. For example, our pilot projects at DTCC have demonstrated the value of collaborating with regulators early and often to ensure that innovation is guided by principles of transparency, risk management and investor protection.
Ultimately, I am convinced that thoughtful, harmonized regulation will help us build a more efficient, transparent and secure marketplace for everyone.
The Future of Financial Markets
Looking ahead, I’m optimistic about the future of financial markets. The integration of advanced technologies, such as AI and blockchain, will continue to drive innovation and enhance market efficiency. It's also important to maintain a strong regulatory framework to ensure that the financial system remains resilient and capable of supporting economic growth.