Broadridge Completes Blockchain Proxy Voting Trial
| Published on April 13, 2017 at 10:00 BST
Investor services firm Broadridge successfully executed a blockchain
pilot focused on proxy voting this week, in partnership with JP
Morgan, Northern Trust and Banco Santander.
statement, Broadridge revealed
that a private
ethereum blockchain was used
as a backup system to more traditional voting software, and that the
test was conducted at an annual meeting at Santander Investments.
past statements about
Broadridge's impending work, the test sought to showcase how
blockchain could improve the transparency of proxy voting, the process
by which shareholders cast votes at annual meetings.
solution seeks to provide an example for how a client could use
a distributed ledger to gain
daily insight into vote progress. Broadridge touted the solution as
being able to give data access to a limited number of people, while
using smart contracts to ensure transparency.
statements, Banco Santander lauded the test as a validation that
blockchains could provide benefits for the voting
use case. Likewise, Broadridge said it would increase the
quality and efficiency of the proxy voting process.
Patricia Rosch, senior executive managing Broadridge's international
proxy business, said in the statement:
"The success of this pilot program reflects Broadridge's unique
ability to leverage our domain expertise and deliver blockchain
innovation to all industry participants."
Notably, this is not the first time blockchain technology has been
used to conduct proxy voting. Earlier this year, Nasdaq
announced a project with
Estonia's e-Residency platform using blockchains for proxy voting. The
project was initiated in 2015 with the blockchain startup Chain.
Voting booth image via