ISLA Americas explores DLT and tokenisation in new white paper
29 April 2025 US

The International Âé¶¹´«Ã½ Lending Association (ISLA) Americas has published a white paper exploring the implications of distributed ledger technology (DLT) and tokenisation for liquidity, collateral management, and market accessibility.
‘From Boom to Bust: Considerations for the Âé¶¹´«Ã½ Lending Industry’, developed in collaboration with EY, aims to provide a blueprint for how the securities lending market should evolve to keep pace with emerging technologies.
According to the authors, Mark Nichols, Brendan Maher, and Seha Islam from Ernst & Young, the securities lending space is poised for transformation from DLT and tokenisation opening the door for incumbents to re-evaluate strategies to incorporate this new technology into their approach and products.
However, the report also highlights risks associated with this transformation, such as disintermediation, increased competition, and demanding operating models.
The authors conclude: “The future of securities lending is not merely about adopting new technologies; it’s about fundamentally rethinking and restructuring securities lending markets to thrive amid rapid changes.
“Businesses must heed the lessons of past failures, adapt proactively, and engage in collaborative efforts to ensure they are not left behind as the industry evolves.â€
‘From Boom to Bust: Considerations for the Âé¶¹´«Ã½ Lending Industry’, developed in collaboration with EY, aims to provide a blueprint for how the securities lending market should evolve to keep pace with emerging technologies.
According to the authors, Mark Nichols, Brendan Maher, and Seha Islam from Ernst & Young, the securities lending space is poised for transformation from DLT and tokenisation opening the door for incumbents to re-evaluate strategies to incorporate this new technology into their approach and products.
However, the report also highlights risks associated with this transformation, such as disintermediation, increased competition, and demanding operating models.
The authors conclude: “The future of securities lending is not merely about adopting new technologies; it’s about fundamentally rethinking and restructuring securities lending markets to thrive amid rapid changes.
“Businesses must heed the lessons of past failures, adapt proactively, and engage in collaborative efforts to ensure they are not left behind as the industry evolves.â€
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