NASD To Deploy Digital Securities Market Through Blockstation Platform

NASD OTC Securities Exchange has said, it will launch a new Digital Securities Platform (N-DSP) through its new Master Agreement with Blockstation and regional partner, TK Tech Africa, following the recent publication of the Securities & Exchange Commission’s (SEC) Digital Asset Rulebook.

The managing director/CEO of NASD, Bola Ajomale stated that, “an exchange specialising in capital formation for companies in West Africa, NASD expects the Blockstation platform to create a fast-track for issuers to tokenize their assets, raise funds, and connect with a global investor pool.

“Furthermore, the platform serves all ecosystem stakeholders including issuers, brokers, custodian banks, depositories, regulators, and investors, providing secure, end-to-end functionality for the entire capital markets lifecycle.”

He also said this agreement is a key part of its strategy to be the most innovative exchange for capital formation in West Africa.

“By building the N-DSP on the Blockstation platform, we stand to create a secure, efficient and dynamic solution for issuers to tokenize, as well as connect with both brokers and investors more easily than ever before.

ly, this cutting-edge technology furthers NASD’s mission to enable economic development in Africa through consistent innovation, fulfilling our commitment to our stakeholders and the Nigerian economy at large,” he said.

The Master Agreement is the latest milestone in this initiative, following a successful pilot of the Blockstation platform in 2021 which involved NASD, Stanbic IBTC Bank, Stanbic IBTC Custodian, Capital Assets Limited, Afrinvest Limited, Greenwich Merchant Bank, Utica Capital, Anchoria Investments & Securities Limited, and Coronation Merchant Bank.

The pilot proved the system’s suitability to support end-to-end workflow for all stakeholders in full compliance with market integrity, KYC/AML, and other regulatory requirements.

Speaking on the collaboration between Blockstation, TK Tech Africa and NASD, the managing director of TK Tech, Damola Akindolire, expressed delight regarding the achievement of this critical milestone and highlighted how the new SEC guidelines will enhance investor confidence and market transformation.

Also, head of Business Strategy for Blockstation,  Matt Singh said: “we are honoured to be directly involved with this process in Nigeria through NASD, and our strategic regional partner TK Tech Africa to advocate for the new digital asset rules.

“Considering Nigerians made over $274 billion worth of transactions in e-payments in the first four months of 2022, Nigeria is in a perfect position to leverage blockchain-based investments for its citizens.”

As knowledge of digital securities is critical to the successful takeoff of the digital securities market in Nigeria, NASD and its partners will run the second of their enlightenment webinars Perspectives on Virtual Assets in the Capital Market on June 15, 2022.