Crypto’s Path to Wall Street Could Get Easier With New Plumbing


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A key element in conventional markets is being enhanced in a way that could make it easier for advocates of traditional finance (TradFi) to trade crypto.

The Financial Information eXchange Protocol (FIX) — a common language that modern trading systems (investor machines, exchange computers, and the like) use to communicate with each other — has added greater support for cryptocurrencies and other digital assets. According to a press release on Monday, the ISO standard Digital Token Identifier (DTI) will be adopted.

Stocks, bonds, and other legacy financial instruments around the world already use various standardized ID codes — a way to make them easier to find and trade, and one of the accoutrements Wall Street types have come to expect when navigating the markets. So, the advent of DTI is a way to make crypto more palatable to TradFi. Meanwhile, FIX is what brokers trades in TradFi.

“Adding the DTI standard to the FIX protocol was an easy decision as the DTI extends the existing functionality to the world of digital assets, which helps the market evolve to work with this asset class,” said Jim Kaye, Executive Director at FIX’s press release. “We can see many benefits of adding the DTI, including making it easier for the industry to audit their transactions and increasing transparency, making the market more efficient.”

The press release states that DTI can also be used by regulators to monitor digital commerce for money laundering and trade risk monitoring.

According to the press release, over 1,300 DTIs have already been issued. This includes private ledgers and tokenized assets.