How It Works

Financial markets currently rely on fragmented post-trade systems, where trade data, lifecycle processing, and settlement remain siloed across disconnected platforms. This creates reconciliation breaks, delays, and operational risk, making T+1 and future compressed settlement cycles difficult to achieve.

Tokenovate solves this by creating a single, shared view of each trade and automating how it moves from execution to settlement. Using the Common Domain Model (CDM), Tokenovate’s platform standardises trade data, lifecycle events, and contractual terms into a Unified Trade Record (UTR) that is synchronised across participants. This ensures every party works from the same data and reduces the need for reconciliation.

The platform then applies a deterministic state model, where each trade is represented as a set of discrete, consumable state objects. These objects progress through defined lifecycle events, ensuring consistent processing, preventing duplication, and creating a complete audit trail of all changes in ownership and obligation.

This approach delivers clear benefits. Firms gain a single source of truth across systems and counterparties, reducing operational complexity and manual intervention.

Lifecycle events are automated using standardised workflows aligned with CDM, improving accuracy and transparency.

Settlement is executed with certainty, as obligations are validated before execution and linked directly to final outcomes. The result is faster processing, lower fail rates, and readiness for T+1 and more compressed settlement cycles.

Underpinning this is the Novat programmable settlement layer, which completes transactions at the appropriate venue of legal settlement finality, including CSDs, RTGS systems, and custodian ledgers. Settlement instructions are executed atomically and reflected directly in the state model, ensuring alignment between lifecycle processing and finality.

Tokenovate’s platform is built as a layered architecture that combines a canonical data model, a deterministic state engine, and a programmable settlement layer to support end to end post trade processing.

The platform is deployed within a secure, permissioned cloud environment with known participants, using role based access controls, encryption, and audit logging to ensure data integrity, privacy, and regulatory compliance.

APIs provide controlled integration points for trade capture, lifecycle event processing, and settlement instruction, allowing firms to connect existing systems without disruption while maintaining full control over data access and permissions.

Together, this architecture combines a CDM-based data layer, a deterministic state engine, and programmable settlement to provide a unified, auditable, and interoperable foundation for modern post-trade processing.