Blockchain has become increasingly relevant to investors, especially in Switzerland, which is home to Zug's Crypto Valley. While some have embraced the new technology, others remain sceptical.
Former portfolio manager and now fintech CEO Pierre Yves Dittlot told Citywire Switzerland about how blockchain is shaping the asset management industry.
‘I think blockchain technology is the future and a game changer in the way we own and trade assets. It makes the investment process so much cheaper and easier. Investors can deal directly with the issuers without the need of intermediaries,' he said.
‘Using smart contracts, it is also possible to securely complete a transaction within a few minutes whereas now it takes a few days to buy a stock.’
Dittlot founded Ledgity, a fintech firm, at the beginning of 2018. The company helps issuers to represent assets digitally in form of security tokens and creates a platform where these digital assets can be traded peer to peer.
‘Because it is a young technology, most people do not know exactly how to use it. We assist them during the issuing phase and provide them with a mobile application where they can trade assets.
‘So far I have been in touch with several wealth managers and I have already found five or six who would be interested in using our services as they believe these technologies will become increasingly important in the financial services industry.’
Dittlot is currently working at the development of the infrastructure and technological sides of the business and is hoping to launch products by Q1 2019.
He previosuly worked as a portfolio manager at Andbank and later was the CIO of TC Stratégie Financière SAM, an asset management company based in Monaco.