Established by SGX Group and Temasek, Marketnode has developed as a notable player in the asset tokenisation ecosystem, providing innovative solutions to streamline fund distribution and cross-border transactions. Rehan Ahmed, CEO of Marketnode, discussed the significance of Euroclear’s recent investment, the role of Monetary Authority of Singapore (MAS) in promoting tokenisation, and Marketnode’s partnerships with key financial players like HSBC. These collaborations underscore Marketnode’s growing role in bridging traditional and digital markets.

Euroclear’s investment

In October 2024, Euroclear’s investment in Marketnode marked a strategic milestone. As a global leader in financial infrastructure and securities settlement, Euroclear’s entry as a shareholder alongside SGX Group, Temasek, and HSBC brings operational expertise and global reach critical to Marketnode’s growth ambitions. Ahmed explained, “Euroclear’s involvement is not only about capital but also about leveraging their infrastructure and expertise to operationalise tokenisation at a global scale.”

With Euroclear’s global distribution capabilities, Marketnode can now access Euroclear’s established network for distributing funds across borders, opening significant new opportunities for fund managers in Asia. “The ability for fund managers in Asia to distribute their products globally has been a longstanding challenge, and Euroclear’s infrastructure directly addresses this need,” Ahmed shared. By integrating Euroclear’s services, Marketnode enables Asian fund managers to reach new markets and investors worldwide, providing a seamless bridge between regions.

This partnership also supports Marketnode’s flagship platforms, Gateway and Fundnode, which have shown robust performance in recent months. Fundnode, a blockchain-based system for fund order processing launched in mid-2024, recorded a 400% increase in transaction volumes month-over-month in October, demonstrating rising demand for cross-border tokenised transactions. As Ahmed explained, “This growth underscores our platform’s capacity to support real market transactions, not just pilot projects,” and highlights the potential of scaling Marketnode’s capabilities to manage even higher transaction volumes as demand grows.

MAS’s support for tokenisation

In parallel with Euroclear’s investment, MAS’s proactive stance on asset tokenisation is shaping the regulatory environment in which Marketnode operates. MAS recently announced its expanded support for the commercialisation of tokenised assets, focusing on frameworks like the Guardian Wholesale Network (GWN) and the Global Layer 1 (GL1) initiative. These frameworks are essential to advancing cross-border transactions and securing asset tokenisation, providing a regulatory backbone for digital finance.

Ahmed highlighted, “MAS’s initiatives provide the regulatory foundation we need while allowing us to innovate.” Through MAS’s GWN, Marketnode is collaborating with financial leaders such as HSBC and UOB to pilot tokenisation models in structured products. These trials have offered Marketnode valuable insights into integrating tokenised assets with traditional market infrastructure, positioning the company to adapt to evolving regulations and operational models. 

Strategic collaborations

Marketnode’s strategic partnerships with institutions like HSBC and Euroclear are central to its building scalable and efficient infrastructure for its offerings. HSBC, a founding investor, has been instrumental in Marketnode’s platform development, co-developing solutions on Fundnode, Marketnode’s blockchain-based infrastructure for fund transaction management and record-keeping. Through this partnership, Marketnode has achieved tangible efficiency gains, reducing settlement cycles from T+10 to T+2, with potential for further reduction.

Beyond efficiency improvements, the partnership with Euroclear adds new layers of operational strength and global distribution channels, enabling Marketnode to serve diverse client bases across borders. Ahmed noted, “Euroclear’s involvement has allowed us to take our operational efficiencies to a global level, giving Asian asset managers broader distribution channels to access international markets.” This broadened access through Euroclear’s infrastructure addresses longstanding distribution challenges in Asia, where fund managers often face limited access to international investors.

Marketnode is also expanding its ecosystem beyond Asia, actively exploring potential in North Asia and collaborating with insurers and asset managers interested in tokenisation. This wider network allows Marketnode to deepen its capabilities across different financial segments and further establishes its infrastructure as a market-wide solution rather than isolated pilot projects. “With thousands of transactions processed daily on Fundnode, we’re demonstrating the real-world applications of blockchain at scale,” Ahmed explained, highlighting Marketnode’s commitment to a robust and practical digital asset infrastructure.

Adapting to diverse regulatory environments

Marketnode’s commitment to scalability and cross-border distribution is supported by its ability to operate within various regulatory frameworks, not limited to MAS in Singapore. As global interest in digital assets grows, Marketnode is navigating the complex regulatory landscapes of markets across North Asia, Europe, and other regions with unique approaches to digital finance.

Ahmed explained, “Each market has its own regulatory nuances and target operating models, so our infrastructure is built with adaptability in mind.” Marketnode’s strategy involves creating an infrastructure that can flexibly integrate with different compliance standards and adapt to regional regulatory requirements. For example, in Hong Kong, where digital asset regulation is rapidly evolving, Marketnode is closely watching developments to align its offerings with local standards while pursuing similar adaptability in Europe.

This multi-regulatory approach not only broadens Marketnode’s operational reach but also provides a strong foundation for global partnerships with institutions operating in different regions. By building a regulatory-compliant infrastructure capable of functioning across markets, Marketnode seeks opportunities to partner financial institutions seeking to expand their digital asset capabilities internationally. “The ability to operate across regulatory regimes isn’t just a benefit—it’s a necessity for us as we scale,” Ahmed remarked, emphasising that the company’s flexible regulatory strategy is essential to its long-term global ambitions.

Future trends and strategic outlook

The convergence of traditional finance and digital assets is transforming the financial landscape, and Ahmed sees Marketnode as a key player in this evolution. With global regulatory support increasing, Ahmed anticipates that blockchain technology, combined with emerging technologies like artificial intelligence (AI) and quantum computing, will redefine digital finance infrastructure. “Blockchain on its own is powerful, but combining it with AI or quantum could supercharge what we can achieve in digital finance,” he noted. Marketnode is positioning itself not just to meet current demands but to lead in a future where these technologies work together to create more efficient, secure, and adaptable financial systems.

MAS’s initiatives, such as the GL1 and GWN frameworks, provide Marketnode with a regulated environment to explore these advancements, which are crucial as the company adapts to regional regulatory landscapes, from Hong Kong to Europe. Ahmed pointed out that these regulatory frameworks validate Marketnode’s early approach to building a versatile infrastructure, enabling the company to operate effectively across markets with differing regulatory requirements.

Looking ahead, Marketnode’s commitment to innovation and its network of partnerships will enable it to remain a key player in the global digital asset ecosystem, as well as to lead Asia’s transition toward a more digital, tokenised economy, setting standards that could influence the global market infrastructure.

Building a future-ready digital market infrastructure

As digital assets continue to reshape finance, Marketnode is positioned to be a pivotal player, bridging traditional and digital finance through partnerships, regulatory alignment, and technological innovation. With Euroclear’s strategic investment and MAS’s support, Marketnode is laying the groundwork for an infrastructure that meets today’s market needs while anticipating the demands of tomorrow’s digital financial ecosystem.

Ahmed envisions Marketnode as more than a service provider; he sees it as a platform that will empower institutions across Asia and beyond to seamlessly transition to a tokenised asset future. “Our focus is on creating a sustainable, adaptable infrastructure that not only operates efficiently today but is ready for the next wave of technological advancements,” he concluded. As Marketnode navigates this dynamic landscape, its strategic partnerships and regulatory foresight will be instrumental in creating value for digital asset infrastructure.