Dr Alisa DiCaprio

AMM and decentralized liquidity pools are the subject of ongoing exploration by central banks. There is great interest in adapting the control mechanisms created by DeFi for CBDC liquidity management. We show that this is possible with some refinement and careful design, though important questions remain to be considered.

Delivery vs. Payment is central to the world's securities settlement systems, but is implemented in multiple forms that differ by jurisdiction. All of these different models exist on a continuum from intraday gross settlement–which minimizes settlement risk while requiring a great deal of liquidity–to delayed batch settlement–which offers netting efficiencies but delays final settlement. Market participants acknowledge the benefits of real time gross settlement but continue to rely on the… Show more

Delivery vs. Payment is central to the world's securities settlement systems, but is implemented in multiple forms that differ by jurisdiction. All of these different models exist on a continuum from intraday gross settlement–which minimizes settlement risk while requiring a great deal of liquidity–to delayed batch settlement–which offers netting efficiencies but delays final settlement. Market participants acknowledge the benefits of real time gross settlement but continue to rely on the operational and liquidity advantages of delayed batch settlement. Acknowledging that reality, this paper proposes a new “best of both worlds” model that allows for a choice of settlement type at the time of trading and offers the ability to settle both gross and netted trades instantly using Central Bank Digital Currency and digital assets on a blockchain infrastructure Show less

You’ve built the technology, now what? The application is the first big step, but what happens next is critical to the longevity of the business network. Governance provides the structure that allows your business network to be altered as future conditions require. But traditional architectures of collaboration must be adapted for decentralized systems. In this paper, we survey the universe of projects on Corda to consider how blockchain projects depart from the “typical” governance… Show more

You’ve built the technology, now what? The application is the first big step, but what happens next is critical to the longevity of the business network. Governance provides the structure that allows your business network to be altered as future conditions require. But traditional architectures of collaboration must be adapted for decentralized systems. In this paper, we survey the universe of projects on Corda to consider how blockchain projects depart from the “typical” governance architectures. We use this to discuss the governance considerations—both technical and business—that are critical for success. Show less

The emergence of blockchain technology has the potential to disrupt nearly anything from voting to healthcare, but could it help deliver the Sustainable Development Goals? International trade has been identified as an instrument in achieving these goals but in practice bottlenecks and trade frictions persist. This chapter aims to illuminate how blockchain technology can smooth three stubborn trade frictions: trade finance gaps, low preference utilisation, and customs frictions. We detail the… Show more

The emergence of blockchain technology has the potential to disrupt nearly anything from voting to healthcare, but could it help deliver the Sustainable Development Goals? International trade has been identified as an instrument in achieving these goals but in practice bottlenecks and trade frictions persist. This chapter aims to illuminate how blockchain technology can smooth three stubborn trade frictions: trade finance gaps, low preference utilisation, and customs frictions. We detail the channels through which blockchain technology can smooth these trade frictions. We then estimate the magnitude of potential economic effects and consider their contributions to these goals. We also discuss how policymakers can create an ecosystem to facilitate these advancements in trade and sustainable development. Show less

Trade agreements are not just about trade. They have become increasingly popular, and increasingly complex. Has this increase in complexity and frequency made the world more cooperative or more competitive? To explore this question, we turn to the highest level of foreign policy - the United Nations General Assembly (UNGA). As all countries receive a single vote in the UNGA, voting offers a clear signal of foreign policy positions, and alignment of interests can be directly measured. In this… Show more

Trade agreements are not just about trade. They have become increasingly popular, and increasingly complex. Has this increase in complexity and frequency made the world more cooperative or more competitive? To explore this question, we turn to the highest level of foreign policy - the United Nations General Assembly (UNGA). As all countries receive a single vote in the UNGA, voting offers a clear signal of foreign policy positions, and alignment of interests can be directly measured. In this paper we show that there are clear political spillovers from trade cooperation. Using a dataset from United Nations General Assembly votes, we illustrate that countries that cooperate in trade, also cooperate in politics. Show less

Efforts to address global shortfalls in trade finance have gained limited traction due to the decentralized nature of trade. In this paper, we review the design of enterprise blockchains to explore how changing the architecture of trade finance could impact the drivers of trade finance gaps. By grounding our analysis in the technical architecture of a live, enterprise blockchain platform, we aim to provide a tangible discussion around the technology. Applying blockchain technology to trade… Show more

Efforts to address global shortfalls in trade finance have gained limited traction due to the decentralized nature of trade. In this paper, we review the design of enterprise blockchains to explore how changing the architecture of trade finance could impact the drivers of trade finance gaps. By grounding our analysis in the technical architecture of a live, enterprise blockchain platform, we aim to provide a tangible discussion around the technology. Applying blockchain technology to trade finance – regardless of the top of stack application – will directly impact the flow of information, compliance challenges, and profitability in ways that can contribute to a more inclusive trade finance structure. Show less