Bond180 at Barclays DerivHack 2019
By Parth Shukla, CTO of Bond180
Last month, I had the pleasure of joining forces with fellow University of Cambridge spinout and R3 entrepreneur in residence Finteum to win first place at Barclays DerivHack 2019. Competing against over a dozen teams from across the London fintech scene, we built a novel (and awesome!) solution that applies DLT technology and R3’s Corda to securities & derivatives trading.
At Bond180, we’re using digital technology and distributed ledger to make debt markets faster, cheaper, and better suited for investors. I’m always looking for opportunities to find new ideas and work with amazing and talented people who are at the cutting edge of fintech. Like debt markets, derivatives trading is complicated and uses a ton of outdated systems. These systems are not standardized across different firms, leading to a huge swath of problems and expensive integrations. There was a clear opportunity to innovate, apply technology, and solve the problem.
The Finteum team designed a process that exchanges securities and settles cash between two parties in a process called atomic settlement. Atomic settlement uses smart contracts to instantaneously settle a trade, taking out almost all settlement risk and standardizing the process for everyone in the market! ISDA’s common domain model ensured standardization and interoperability and R3’s Corda provided the smart contracting. We chose Corda as our smart contract & DLT platform because of its enterprise readiness, backend design, and intuitive infrastructure management.
The team was incredible, Zbi Czapran as masterful in building on Corda and Brian Nolan delivered a stellar final pitch. So much of what I learned aligns with what we’re building at Bond180, from streamlined settlement to better processes and interoperable systems. I’m impressed by what we could build in 48 hours - and by the innovations that are coming to capital markets!