The Australian Securities Exchange (ASX) has scrapped its long-delayed blockchain upgrade to its outdated Clearing House Electronic Subregister System (CHESS). In a statement <a href="https://asic.gov.au/about-asic/news-centre/find-a-media-release/2022-releases/22-320mr-asic-rba-joint-statement-on-asx-chess-replacement-program/" target="_blank" rel="nofollow noopener">released</a> on Thursday, ASX stated that the decision was made considering the solution's unpredictability and that there would be a penalty of AUD $250 million ($168 million).
<h2>Australian Securities Exchange Choose Digital Asset Holdings</h2>
According to research by the consulting firm <a href="https://www.cryptoknowmics.com/news/ntt-docomo-and-accenture-join-forces-to-promote-web3-adoption">Accenture</a>, there are critical problems with the <a href="https://www.cryptoknowmics.com/news/starkware-launches-starknet-crypto-token-on-ethereum-blockchain">blockchain</a> system's structure, including a lack of clarity around how ASX requirements would connect with the program and underlying ledger.

The statement brings to an end a lengthy and contentious process that first seemed to be a victory for the corporate deployment of distributed ledger technology. In 2017, ASX revealed that it had chosen blockchain company Digital Asset Holdings to create the system that will assume the responsibility of CHESS.
<h2>Post-Trade System</h2>
According to ASX Chairman Damian Roche, the company conducted the process to create a post-trade system that matched innovation and cutting-edge technology with security and dependability.

There are serious technical, governance, and delivery concerns that must be addressed, according to a subsequent evaluation that considers the recommendations in the independent analysis. Following the news, regulators expressed their disapproval in remarks.

Australian Securities Exchange Drops Blockchain-Based Clearing System

Australian Securities Exchange (ASX) has scrapped its long-delayed blockchain upgrade to its outdated Clearing House Electronic Subregister System (CHESS).

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Australian Securities Exchange Drops Blockchain-Based Clearing System

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