The London Stock Exchange introduces a list of cryptocurrencies to its financial asset database.
London Stock Exchange Group (LSEG) adds 169 blockchain and cryptocurrency related instruments. Since June this year, instruments such as cryptocurrencies, digital platforms and security tokens have been added to the SEDOL Masterfile list. The full list of instruments is now available to all users (SEDOL) of asset managers, wealth managers, insurance companies, custodians or data providers or fund administrators.
LSEG worked with Digital Asset Research to verify and classify digital assets.
Assets will be grouped into the following categories: digital currencies, digital platforms and security tokens:
Digital currencies (XA) are digital assets that are created to exchange or store value, e.g. Bitcoin.
Digital platforms (XB) are digital assets that enable the creation of smart contracts aimed at facilitating the verification and conclusion of a contract between two or more people and securing them on the blockchain.
Security Token (XC) security tokens are financial instruments that use decentralized properties in financial contracts.
The addition of bitcoin and digital currencies to the LSEG database is a response to the demand of institutional clients, who are slowly arousing interest in this asset class.