EquiLend Secures Minority Investment from BNY
EquiLend, a global leader in securities finance technology, has secured a minority investment from BNY (NYSE: BK). This strategic investment strengthens their existing 20-year partnership and positions BNY among eight other major financial institutions with strategic investments in EquiLend.
BNY will be among the initial users of EquiLend's 1Source platform, a groundbreaking solution utilizing distributed ledger technology (DLT) and smart contracts to create a single source of truth for securities finance transactions. The platform aims to enhance transparency, reduce inefficiencies, and establish new operational standards in the global securities finance market.
EquiLend, un leader globale nella tecnologia per il finanziamento dei titoli, ha ottenuto un investimento di minoranza da BNY (NYSE: BK). Questo investimento strategico rafforza la loro partnership esistente di 20 anni e posiziona BNY tra altre otto importanti istituzioni finanziarie con investimenti strategici in EquiLend.
BNY sarà tra i primi utenti della piattaforma 1Source di EquiLend, una soluzione innovativa che utilizza la tecnologia dei registri distribuiti (DLT) e i contratti smart per creare una fonte unica di verità per le transazioni di finanziamento dei titoli. La piattaforma mira a migliorare la trasparenza, ridurre le inefficienze e stabilire nuovi standard operativi nel mercato globale del finanziamento dei titoli.
EquiLend, un líder global en tecnología de financiación de valores, ha asegurado una inversión minoritaria de BNY (NYSE: BK). Esta inversión estratégica fortalece su asociación existente de 20 años y posiciona a BNY entre otras ocho importantes instituciones financieras con inversiones estratégicas en EquiLend.
BNY estará entre los primeros usuarios de la plataforma 1Source de EquiLend, una solución innovadora que utiliza tecnología de libro mayor distribuido (DLT) y contratos inteligentes para crear una única fuente de verdad para las transacciones de financiación de valores. La plataforma tiene como objetivo mejorar la transparencia, reducir ineficiencias y establecer nuevos estándares operativos en el mercado global de financiación de valores.
EquiLend는 증권 금융 기술의 글로벌 리더로서 BNY (NYSE: BK)로부터 소수 지분 투자를 확보했습니다. 이 전략적 투자는 20년간의 파트너십을 강화하며, BNY를 EquiLend에 전략적 투자를 하는 다른 8개의 주요 금융 기관 중 하나로 자리매김하게 합니다.
BNY는 EquiLend의 1Source 플랫폼의 초기 사용자 중 하나가 될 것이며, 이 혁신적인 솔루션은 분산 원장 기술(DLT)과 스마트 계약을 활용하여 증권 금융 거래를 위한 단일 진실 출처를 생성합니다. 이 플랫폼은 투명성을 향상시키고 비효율성을 줄이며 글로벌 증권 금융 시장에서 새로운 운영 기준을 설정하는 것을 목표로 합니다.
EquiLend, un leader mondial dans la technologie de financement de titres, a sécurisé un investissement minoritaire de BNY (NYSE: BK). Cet investissement stratégique renforce leur partenariat existant de 20 ans et positionne BNY parmi huit autres grandes institutions financières ayant des investissements stratégiques dans EquiLend.
BNY sera parmi les premiers utilisateurs de la plateforme 1Source d'EquiLend, une solution révolutionnaire utilisant la technologie de registre distribué (DLT) et des contrats intelligents pour créer une source unique de vérité pour les transactions de financement de titres. La plateforme vise à améliorer la transparence, réduire les inefficacités et établir de nouvelles normes opérationnelles sur le marché mondial du financement de titres.
EquiLend, ein globaler Marktführer in der Technologie für Wertpapierfinanzierung, hat eine Minderheitsbeteiligung von BNY (NYSE: BK) gesichert. Diese strategische Investition stärkt ihre bestehende 20-jährige Partnerschaft und positioniert BNY unter acht weiteren großen Finanzinstituten mit strategischen Investitionen in EquiLend.
BNY wird zu den ersten Nutzern der 1Source-Plattform von EquiLend gehören, einer bahnbrechenden Lösung, die verteilte Ledger-Technologie (DLT) und Smart Contracts nutzt, um eine einzige Wahrheitsquelle für Wertpapierfinanzierungstransaktionen zu schaffen. Die Plattform zielt darauf ab, die Transparenz zu erhöhen, Ineffizienzen zu reduzieren und neue Betriebsstandards im globalen Wertpapierfinanzierungsmarkt zu etablieren.
- Strategic minority investment from major financial institution BNY strengthens EquiLend's market position
- Selection as initial user of 1Source platform validates technology solution
- Partnership with 9 major financial institutions enhances advisory capabilities
- None.
Insights
BNY's strategic minority investment in EquiLend represents a calculated expansion of its securities finance technology capabilities without significant capital deployment. The partnership grants BNY early adopter status for EquiLend's 1Source platform – a distributed ledger solution creating a unified source of truth for securities finance transactions.
This investment carries three strategic advantages: First, it positions BNY at the forefront of securities finance infrastructure modernization where operational efficiency drives competitive advantage. Second, it secures BNY an advisory role alongside eight other financial institutions, giving them influence over future industry standards. Third, it builds on a two-decade relationship, suggesting deep integration potential rather than speculative technology exploration.
For securities finance operations, which involve complex transaction reconciliation and settlement processes, distributed ledger technology offers substantial efficiency improvements by eliminating duplicate records and reconciliation issues. The 1Source platform specifically addresses these pain points by establishing standardized operational protocols across participants.
While financial terms remain undisclosed, the strategic value lies in long-term operational efficiency rather than immediate revenue generation. For BNY shareholders, this represents a prudent investment in ecosystem positioning that maintains competitive relevance in a rapidly evolving financial technology landscape.
BNY's investment in EquiLend marks a significant DLT implementation in securities finance – a sector still operating on largely legacy infrastructure. The 1Source platform introduces smart contracts across distributed ledger technology to create a single source of truth for transactions, addressing the industry's persistent reconciliation challenges.
The technical significance extends beyond typical blockchain applications. Securities finance transactions involve complex lending arrangements with multiple variables including recall rights, variable rates, and collateral requirements. Creating standardized digital representation of these transactions requires sophisticated smart contract design that can handle conditional logic while maintaining regulatory compliance.
Implementing DLT in securities finance offers concrete efficiency benefits: elimination of breaks between counterparty records, reduced settlement failures, near real-time visibility into positions, and automated lifecycle events processing. For BNY specifically, early adoption provides valuable implementation experience and the ability to influence technical standards.
The strategic timing is noteworthy as financial institutions increasingly recognize that certain market infrastructure components deliver greater value as collaborative utilities rather than competitive differentiators. By participating in this industry consortium approach, BNY gains infrastructure improvements while maintaining influence over its technical direction – a balanced approach to financial technology modernization.
Strategic investment builds on long-standing collaboration between the two organizations
BNY's investment represents a significant commitment to EquiLend and its suite of technology solutions. BNY, alongside eight additional major financial institutions with strategic investments in EquiLend, will advise the company on enabling further innovation and efficiency across the securities finance ecosystem.
BNY will also join a select group of planned initial users of EquiLend's 1Source solution, the first industry-wide single source of truth for securities finance transactions. The 1Source platform has been developed in collaboration with leading industry participants to enhance transparency, reduce inefficiencies and establish new operational standards for the global securities finance market, delivered via smart contracts across a distributed ledger (DLT). By addressing critical inefficiencies, 1Source will represent a significant advancement and is positioned to become a foundational market infrastructure solution.
Nehal Udeshi, Head of Securities Finance, BNY, said: "This investment reflects our confidence in EquiLend's ability to tackle the industry's biggest challenges with innovative solutions that drive greater efficiency. We are confident in EquiLend's central role in the marketplace and plans to further redefine securities finance with innovative market infrastructure."
"BNY has been a strong partner of EquiLend's since shortly after the company's founding over 20 years ago. This investment brings added advisory leaders and underscores the commitment to our products and transformative potential of our long-term strategy," said Rich Grossi, CEO of EquiLend. "We continue to be focused on solving our industry's needs, and this collaboration brings us even closer to driving forward our vision for a more efficient, transparent and modern securities finance industry."
For more information about 1Source and EquiLend's comprehensive suite of financial technology solutions, please visit www.equilend.com.
About EquiLend
EquiLend is a global financial technology firm offering Trading, Post-Trade, Data & Analytics, RegTech and Platform Solutions for the securities finance industry. With offices in
Media Contacts
For EquiLend:
equilend@fullyvested.com
christopher.gohlke@equilend.com
For BNY:
ryanw@bny.com
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SOURCE EquiLend
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