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Broadridge Financial Solutions has unveiled its Digital Asset Solutions, a portfolio of services aimed to assist financial institutions in scaling their digital asset strategy while remaining compliant with worldwide regulatory standards.
As the world of bitcoin and tokenised assets evolves, Broadridge wants to bridge the gap between traditional finance (TradFi) and decentralised finance (DeFi), giving investors more clarity and confidence as they navigate the digital realm.
The move coincides with increased institutional interest and heightened regulatory scrutiny of the digital asset market. Broadridge's product is aimed to fulfil the growing demand for transparent, consistent disclosures and governance systems in the cryptocurrency field.
Mike Tae, Co-President of Broadridge’s Investor Communication Solutions Business stated: "By leveraging our trusted expertise in data, governance solutions, and investor communications we are helping clients provide useful information to investors and participants in the crypto and digital assets space, furthering the democratisation of investing. Broadridge's new Digital Asset Solutions will enable investors to better access, understand, and monitor these digital assets across the full range of intermediaries and exchanges offering these products. We have drawn on our deep expertise in helping tens of millions of main street investors better understand their equity and fund investments to develop solutions that will bring similar transparency to digital assets."
The company's service is based on decades of experience in traditional finance and applies those concepts to a sector that is still developing best practices for transparency.
Broadridge ClearFi, a digital asset disclosure tool released in October 2024, is the initiative's centrepiece. ClearFi compiles on-chain and off-chain data from hundreds of reputable sources to show digital asset information in a consistent and understandable manner.
It is intended to assist financial intermediaries such as broker-dealers, crypto exchanges, and digital wallet providers by providing them with the tools they require to educate and enlighten their investors.
Moreover, Broadridge's Digital Asset Disclosure Survey reveals a significant market gap: investors struggle to obtain clear and accessible information about the digital assets they own. ClearFi addresses this issue by providing a standardised taxonomy that encourages openness across several digital asset types, such as cryptocurrencies, stablecoins, and DeFi products.