The London Stock Exchange Group (LSEG) has announced the launch and completion of its first transaction on the Digital Markets Infrastructure (DMI) platform, which is specifically designed for private funds. Developed in collaboration with Microsoft, this platform aims to enhance efficiency using Blockchain technology in various processes, including issuance, tokenization, distribution, and post-trade services of assets. Initially concentrating on private funds, the platform will eventually expand to include different asset classes, as stated in their recent press release.
Successful Inaugural Transaction
Constructed on Microsoft Azure, the DMI platform was designed with a focus on high security, scalability, and interoperability. It is compatible with both traditional finance and distributed ledger technology solutions, offering a broader distribution network and enhanced liquidity for investors and fund managers. This framework simplifies access to private funds while ensuring transactions occur within a regulated environment.
The platform’s first transaction was conducted for the MCM Fund 1, managed by MembersCap as the general partner. In this transaction, Archax acted as an intermediary on behalf of a major Web3 foundation. Additionally, EJF Capital has joined as an early user, with plans to open access to a portion of its funds via DMI soon. LSEG has also integrated its Workspace platform into the process, facilitating easier discovery of funds by investors.
LSEG and Microsoft Partnership
LSEG’s DMI platform is designed to work integratively with the group’s range of products and services. Through this integration, Workspace simplifies the process for fund managers to reach professional investors, while simultaneously providing investors with access to emerging opportunities in private markets. The platform is intended to boost trade efficiency across both cryptocurrency and traditional asset classes.
Within the strategic partnership framework, Microsoft played a significant role in the platform’s development. By positioning DMI on Azure, the focus is on scalability and security, ensuring the technological infrastructure supports long-term growth. The platform is anticipated to expand into other asset classes in future stages.
