Where’s the DLT Tipping Point? A Finadium Survey

Finadium
April 2025

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There is a notable distance between the desires of evangelists for Distributed Ledger Technology (DLT) and the capacity of professionals in funding and financing markets to implement solutions. While many professionals believe that DLT has a useful role, especially in post-trade, and some firms have taken a proactive approach to adoption, there is a lack of industry engagement in making DLT a piece of functional bank infrastructure in a short time frame.

To help bridge this gap, Finadium conducted a survey of funding professionals to help identify how market infrastructure providers from both the public sector and industry-supported entities can help individual firms make the leap, transforming DLT from a nice-to-have future technology into a tool as ubiquitous as email. We wanted to know, for example, what value (if any) desk professionals saw in DLT for tokenized securities, how far they had gotten towards adoption and their views towards current efforts from market infrastructure providers. We concluded each survey by generating ideas about what infrastructure can do to help generate DLT engagement.

There is a tipping point when enough firms start to adopt DLT that it becomes the industry standard. We take the position that DLT, especially for post-trade, would deliver benefits. Our question is: where is that tipping point and what can financial market infrastructures do to help the market get there for the common good and for their own benefits as well?

This report should be read by any market infrastructure provider and professional in the funding and financing markets.

Table of Contents

• Executive Summary
• Mind the Gap
• – What is Distributed Ledger Technology (DLT)
• – Methodology
• What Regulators and Evangelists are Saying
• What Repo Dealers Think
• – The Role of FMIs
• – Dealer Obstacles to Adoption
• – What Kind of Digital Settlement Currency is Needed?
• Bridging the Distance and Engaging the Market
• – Action Items for Infrastructure Providers
• About Finadium LLC