What custodians and CSDs are really doing about blockchain

The custodian banks and central securities depositories (CSDs) that make up the global securities services industry are understandably intrigued by institutional investment in crypto-currencies, disintermediating experiments in the Decentralized Finance (DeFi) market and the looming possibility of exponential growth in security tokens.

Each of these developments is rich in promise, but also threat, and one person who knows how the custodians and CSDs are responding is Vivekanand Ramgopal. That is because he is vice president and head of TCS Financial Solutions at Tata Consultancy Services, whose TCS Bancs securities processing platform is used by dozens of custodian banks and CSDs. Significantly, Vivek also heads Quartz, a new set of blockchain-based services to support investment in crypto-currencies and security tokens. He spoke to Future of Finance co-founder Dominic Hobson.