Home ยป Australian Regulator Accuses Australian Stock Market of Concealing Delayed Blockchain Project Causing Brokerages Losses

Australian Regulator Accuses Australian Stock Market of Concealing Delayed Blockchain Project Causing Brokerages Losses

The Australian Securities & Investments Commission (ASIC) files a lawsuit against the Australian Securities Exchange (ASX) seeking damages, as it confidently believed that the new blockchain system replacing the old COBOL system would be operational as scheduled, despite ultimately being delayed and ultimately canceled.

ASX’s new system project began in 2015, with an initial planned launch in April 2021, but faced multiple delays and project descoping, leading to confirmation of actual readiness in April 2023. However, Accenture’s review identified various concerns, resulting in the project being scrapped with a reported cost of AUD 255 million.

This project setback prompted ASIC to impose a penalty of AUD 1,050,000 on ASX, with additional damages yet to be determined in the ongoing lawsuit.

Source: ASIC

TLDR: ASIC sues ASX over failed blockchain project, resulting in delays, concerns, and significant financial losses.

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