Public Trading
For a company to continue to grow beyond its humble roots, it often helps to be listed on a well-established stock exchange. By allowing its shares to be traded publicly, a business can begin to raise enough capital to be able to compete on a global scale. Tech companies, in particular, require a substantial amount of money to build and improve their products, public markets or stock exchanges have been a vital source of funds for most of the big names we think of today. The likes of Amazon, Microsoft and Apple simply wouldn’t exist in their current form without being listed on stock exchanges. Beyond just a means to acquire capital, a main market listing places the company in the public view. Being in the public eye announces a business to the world, it is a statement of intent and a demonstration that it is ready to grow. If a company has a product or service it wishes to share with the world, listing on a stock exchange is an excellent way to do so.
The London Stock Exchange
It’s certainly no coincidence that the majority of the most prominent and most influential businesses operating within the UK are listed on the London Stock Exchange (LSE). The LSE is one of the oldest and most well-established stock exchanges anywhere in the world – with this history comes a certain level of prestige. The LSE is currently the 7th largest stock exchange in the world, in terms of market capital, and holds weight against the American giants of NASDAQ and the New York Stock Exchange. There are around 2600 companies listed on the main market of the London Stock Exchange, including many of the world’s largest and most dynamic industries operating internationally.
Blockchain on the LSE
Relatively speaking, blockchain technology is a very recent creation. As a result, very few of the 2600 companies listing on the LSE are blockchain-based. Yet, despite its infancy, the London Stock Exchange has made some notable investments in blockchain1, signifying their belief that it has a stable future. Nikhil Rathi, CEO of the London Stock Exchange, has even gone so far as to hint that blockchain technology could be used to improve processes such as issuing securities or settling trades, both of which are vital to how exchanges operate2.
The Proof of Trust
The Proof of Trust announced earlier this year its intent to list on The London Stock Exchange. As well as being one of the first blockchain companies, The Proof of Trust will be unique amongst the 2600 corporations, as it is the only one providing assurance and dispute resolution services to blockchain-based transactions. This momentous announcement comes at a time when industries are really starting to see the benefit of blockchain and how it can improve efficiency while saving costs. By listing on the LSE, The Proof of Trust aims to bring assurance as well as reassurance to blockchain solutions on a global stage, thereby bringing the disruptive technology to the masses. We are excited about this stage of our journey and look forward to sharing more exciting news regarding the public listing.
References
1. Castillo, Michael del. “London Stock Exchange Leads $20 Million Bet On Blockchain To Cut Out Custody Middlemen.” Forbes, Forbes Magazine, 28 Feb. 2019, www.forbes.com/sites/michaeldelcastillo/2019/02/27/london-stock-exchange-leads-20-million-bet-on-blockchain-to-cut-out-custody-middlemen/ #60ca03966e46.
2. Browne, Ryan. “London Stock Exchange CEO Hints at How the 300-Year-Old Trading Venue Could Use Blockchain.” CNBC, CNBC, 2 May 2019, www.cnbc.com/2019/05/02/london-stock-exchange-ceo-on-blockchain-and-cryptocurrency.html.