Symbiont is a company that aims to apply blockchain technology in making a quicker and safer system for transferring assets between buyers and sellers. In doing so, it could reduce the clearing and settling time for trading, paving the way for a more efficient and streamlined market.

According to its statement on Tuesday, the company was able to raise $1.25 million from a group including former New York Stock Exchange chief Duncan Niederauer, former Citadel executive Matt Andresen, and two co-founders of high-frequency trading firm Getco, Dan Tierney and Stephen Schuler.

Blockchain Application in Trading

Blockchain is the public ledger of transactions in bitcoin. This code is updated by a network of computers solving complex algorithms in order to verify transactions and add a new block to the blockchain. In doing so, the network is made more secure and transactions are irreversible.

This technology has garnered a lot of interest from developers who sought to explore its practical applications. Since the blockchain entries are immutable, these can be used to create secure databases and to enhance the security of file transfers. Apart from that, it can also be used to give buyers and sellers instant confirmation of their trade execution.

“The blockchain not only has the potential to democratize markets, but to drive down the cost of doing business across all sectors,” Mark Smith, co-founder and chief executive officer of Symbiont, said in the statement. “This is a once-in-a- generation opportunity to leverage this previously unimaginable technology.”

Having a blockchain-based system could eliminate the need for plenty of middlemen or clearinghouses in the financial markets, eliminating the possibility of human error or fraud. Wall Street traders are already interested to see how this technology could overhaul derivatives, bonds, loans and other asset classes.

“Symbiont is bridging the gap between Wall Street and the emerging blockchain ecosystem,” said former New York Stock Exchange chief Duncan Niederauer. “It’s an exciting, timely and much-needed development for the long-term health of the markets.”