Download the Full PDF Report Here:

Online Trading in the Age of Distributed Ledger Technology (DLT): The Doubts, the Pains, and the Opportunities

Capital markets play a critical role in the financial development of any economy. It promotes wealth creation, supports financial literacy, funds sustainable development of the country, fosters economic growth and innovation, and aids capital reallocation. The capital market facilitates economic growth and financial stability by providing the infrastructure to channel financing for the real economy. Howbeit, the going strength of capital markets across the globe is fueling a higher priority on the competitiveness of the capital market in each economy. The competitiveness of the market is now measured by the market capacity to provide a healthy and efficient platform where excess liquidity can be channelled to create a healthy economy. This, in turn, hangs on how the market and operators leverage the operating environment, market development, and evolving digital transformation (see illustration 4 below).

Illustration 4: 

While recent global development has hanged the competitiveness of most Capital Markets on the balance, operators' competitiveness has sustained market prospects across major economies. In Nigeria, the dynamics of market operators in modernising transactions and the regulatory requirement on institutional investors have remained the low-hanging fruits for market competitiveness.   

The restrictions of the global pandemic and the evolution of technologies have led to the adoption and deep embedding of digital technologies in the Nigerian capital market. A vibrant Nigerian economy requires a dynamic capital market powered by modernisation, competition, and diversity. Nigeria's trading platforms have to some extent, leveraged development in information and communication technology for speed and efficiency. This stands out as one of the market edges, driving resilience and positive returns across Exchanges in Nigeria. Other strong points for market operators in Nigeria is the expertise to localise the evolution of global market development and diversify both the products offering and the investors base (see illustration 5 below). 

Illustration 5: 

Download the Full PDF Report Here:

Online Trading in the Age of Distributed Ledger Technology (DLT): The Doubts, the Pains, and the Opportunities