DTCC and the incumbents vs innovators debate

Plus, the market lid of rotation

“One of the greatest pieces of economic wisdom is to know what you do not know.” – J. K. Galbraith ||

Hi everyone! I hope you’re all getting into the festive spirit! If crypto markets are getting you down, remind yourself as often as it takes that they will eventually bounce back – it’s what they do, and there’s no reason for that not to happen this time. It just might take a while, more on this below.

Production note: This newsletter will be taking a break next week – back on the 29th!

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IN THIS NEWSLETTER:

• DTCC and the incumbents vs innovators debate

• Markets: the rotation continues

Crypto is Macro Now offers ~daily commentary and updates on the overlap between the crypto and macro landscapes.

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WHAT I’M WATCHING:

DTCC and the incumbents vs innovators debate

One of the most significant institutions in the traditional market infrastructure web is adding its heft to the push towards a new market structure.

Over the past week, we’ve seen a couple of big announcements from the DTCC that highlight the crypto-macro convergence, and that raise some questions about what’s ahead for market structure.

Below, I’ll outline the DTCC’s blockchain-related path, from its origins back in 2015 to the developments just announced. I’ll also sketch out what its strategy says about how markets are evolving, what we should be wary of, and what the end game could look like.