tl;dr
LSEG has launched Digital Markets Infrastructure (DMI), a blockchain-based platform designed to streamline the lifecycle of digital assets, marking the first time a major global stock exchange has adopted such a system. Developed in partnership with Microsoft and running on Azure, DMI supports iss...
**LSEG’s Blockchain Breakthrough: A New Era for Private Markets**
**Microsoft Collaboration Paves the Way for Interoperability and DeFi Convergence**
The London Stock Exchange Group (LSEG) has made waves in the financial world by launching **Digital Markets Infrastructure (DMI)**, a blockchain-based platform designed to streamline the lifecycle of digital assets. This marks a historic milestone: LSEG is now the first major global stock exchange to adopt such a system, signaling a bold step toward integrating decentralized technologies with traditional finance.
**A Full-Stack Solution for Digital Assets**
DMI isn’t just another blockchain experiment—it’s a comprehensive infrastructure that supports everything from **issuance and tokenization** to **post-trade settlement**. Developed in partnership with Microsoft and running on **Microsoft Azure**, the platform aims to bridge the gap between distributed ledger technology (DLT) and conventional financial systems. LSEG envisions DMI as a cornerstone of its mission to become the first global exchange group to serve clients across the “full funding continuum,” from public markets to private assets.
Private funds are the first asset class to go live on the platform, with plans to expand to other categories. A key feature of DMI is its ability to make private funds **discoverable** to users of **Workspace**, LSEG’s digital collaboration hub. This opens the door for general partners to connect with professional investors, potentially democratizing access to previously opaque investment opportunities.
**First Clients and a Debut Transaction**
The platform’s launch was underscored by its first real-world application: **MembersCap**, a capital management firm, executed the debut transaction on DMI with **Archax**, a UK-based crypto exchange regulated by the Financial Conduct Authority. Archax acted as a nominee for the **Cardano Foundation**, highlighting the platform’s potential to facilitate cross-border and cross-asset interactions.
**Microsoft’s Role in Reshaping Finance**
Microsoft’s collaboration with LSEG isn’t just a technical partnership—it’s a strategic move to redefine global finance. “This is a powerful example of the innovation driving our partnership,” said **Bill Borden**, Microsoft’s corporate vice president of worldwide financial services. The duo aims to unlock new opportunities for customers, from enhancing liquidity in private markets to improving investor access through **interoperable, regulated DLT infrastructure**.
**A Vision for the Future: Bridging Traditional and Decentralized Finance**
LSEG’s **Darko Hajdukovic**, head of digital markets infrastructure, emphasized the urgency of modernizing private market processes. “There’s significant appetite for an end-to-end, interoperable financial markets DLT infrastructure,” he said. The platform’s design reflects this demand, aiming to make private investments—once exclusive to a select few—more accessible and liquid.
Meanwhile, **Nelli Zaltsman**, head of blockchain payments innovation at JPMorgan’s Kinexys, sees DMI as a catalyst for **DeFi convergence**. “Traditional finance giants are accelerating the integration of blockchain and DeFi,” she noted at the RWA Summit Cannes 2025. JPMorgan’s recent pilot with **Chainlink**—which synchronized blockchain-based deposits across multiple chains—underscores the growing momentum toward a unified financial ecosystem.
**What’s Next?**
As DMI scales, its impact could ripple across markets. By making private funds more transparent and accessible, the platform may redefine how investors allocate capital. For LSEG, the move is a strategic bet on the future: a world where **DLT and traditional systems coexist**, enabling faster, cheaper, and more transparent transactions.
For now, the message is clear: the financial industry’s next chapter isn’t just about blockchain—it’s about **bridging the old and the new**. And LSEG, with its bold new infrastructure, is leading the charge.
What do you think? Could platforms like DMI finally make private markets as liquid and accessible as public ones?