The post Put Equity Lending Onchain, Or Get Out Of The Way appeared on BitcoinEthereumNews.com.

Opinion by: Hedy Wang, co-founder and CEO at Block Street Equity markets are still running on outdated rails — batch files, email reconciliations and sluggish collateral transfers that crawl between custodians through workflows that no one fully controls.  If the industry wants to maintain credibility, it can no longer tolerate this. The answer is not another incremental patch or painful niche option. It’s a step up to onchain equity lending. Real-time settlement, programmable collateral and transparent rule enforcement will become the benchmark others must meet. Equities are dependent on elements like certainty and speed. The systems that hold them up, however, still cause settlements to drag, recalls to stall and corporate actions to create reconciliation traps. Onchain rails cut through this friction by settling trades instantly and securely, removing the delays and exposure presented by the plague of today’s processes. Smart contracts then automatically handle routine tasks with the need for endless back-and-forth. Global regulators and market architects are already setting the foundation for tokenized settlement backed by central bank money and tokenized deposits. These are the secure “cash” side of every transaction — the part that guarantees financing is safe and final.  Even the World Economic Forum’s overview highlighted the issuance and securities-financing use cases moving from pilots to production as tokenization moves from theory to reality. The time for progress is now, and necessity remains the mother of invention. Weighing up the risks In today’s equity lending system, risks are often discovered too late, through endless reconciliations and back-office checks, but problems have already spread by then. Instead of reacting post-trade, rules are enforced upfront, so loans only go through if the conditions are right. It’s like ensuring limits on exposure, recall periods, etc., are all met in advance. The manual exceptions roulette can now be removed, and…

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Filed under: News - @ October 13, 2025 1:25 am