Episodes

  • 9: Digital Collateral – A Resilience Game Changer?

    9: Digital Collateral – A Resilience Game Changer?
    Aug 26 2025
    This episode is hosted by Tonic’s CEO Chris Watts, alongside Head of Digital Steven Czarnota. They’re joined by Kelly Mathieson (Chief Business Development Officer at Digital Asset) to explore the transformative potential of digital collateral and DLT (Distributed Ledger Technology) in building resilience across capital markets.

    Using real-world case studies - including the 2008 Global Financial Crisis, COVID-19 market shocks, and the 2022 UK LDI crisis - the team unpacks how legacy infrastructure amplified stress and how digital solutions might have changed the outcome.

    You’ll hear:
    • How DLT can deliver real-time collateral visibility and enhance market stability
    • Why smart contracts and tokenization reduce reconciliation and operational risk
    • The future role of tokenized physical assets like gold in meeting liquidity needs
    • How intraday mobility and tokenized MMFs could reshape margin management
    • The importance of interoperability across DLT platforms, including the Canton network

    Whether you’re navigating today’s challenges or preparing for the next market stress event, this episode offers practical insights into how digital infrastructure can unlock stronger, more resilient markets.

    If you’re not already exploring DLT and tokenized assets - this is your polite nudge to start.

    00:00 Introduction
    00:59 Topic Introduction: Digital Collateral – A Resilience Game Changer?
    02:12 Guest Introductions
    04:43 Segment: Two Truths, One Lie
    06:37 2008 Global Financial Crisis
    16:44 COVID-19 Pandemic
    24:02 2022 UK Gilt Crisis
    33:12 Impact of DLT and Tokenization
    38:41 Conclusion
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    38 mins
  • 8: Cost Optimisation Innovation - Part 2

    8: Cost Optimisation Innovation - Part 2
    Jul 22 2025
    In Part 2 of our special series, host Emma Watson dives even deeper into the evolving
    landscape of securities finance with Steve Lethaby and Andrew Turvey

    From the transformation of market infrastructure to how fintechs are reengineering
    workflows, this episode tackles the big themes shaping tomorrow’s market:

    • Settlement efficiency, collateral mobility & interoperability: how are iCSDs
    supporting cost optimisation across the market?
    • Real-time collateral optimization using AI & cloud-powered tech
    • Fintech disruption: How new platforms are slashing manual processes and
    reshaping trade execution
    • Strategic levers like triparty, auto-borrow, netting, and intraday repo
    • The growing buzz around T+1, tokenization, and custody-agnostic solutions
    • And the future: What’s next in sustainable cost optimization and data-led
    innovation?

    Expect frank insights, sharp observations, and a big focus on collaboration, data, and
    digitization - the building blocks of a more resilient, efficient market.

    📌 If you're in funding, liquidity, collateral, or just want to understand how operational
    precision is becoming a strategic advantage, this episode is a must-listen.
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    19 mins
  • 7: Cost Optimisation Evolution – Part 1

    7: Cost Optimisation Evolution – Part 1
    Jul 10 2025
    In this episode of TonicBoom!, host Emma Watson Tonic’s Securities Finance Lead is joined by industry experts Andrew Turvey (GLMX) and Steve Lethaby (Clearstream Banking) to unpack one of the most critical themes in today’s capital markets: driving efficiency in Securities Financing.

    From the evolution of repo markets post-GFC, to the ongoing digitization and regulatory pressures shaping today’s landscape, this episode explores what cost optimization truly means in securities lending and repo—and why it’s about much more than just cutting costs.

    You’ll hear:
    - Why the shift from legacy systems to scalable, tech-enabled solutions is accelerating
    -How buy-side and sell-side collaboration is unlocking new opportunities
    -The role of regulation, margin, and operational risk in shaping future strategy
    -The growing impact of central clearing and the road to T+1 in the UK and Europe
    - The shift in market risk from banks to shadow banking and NBFIs

    Whether you're a seasoned industry veteran or newcomer, this is your front-row seat to the strategies and structural shifts defining the next phase of Securities Financing.

    Stay tuned for Part 2, where we’ll dive deeper into technology, collateral optimization, and emerging challenges and solutions.

    00:00 Episode Intro
    02:17 Two Lies, One Truth Challenge
    05:37 Market's Focus on Cost Optimisation
    06:50 Impact of the Global Financial Crisis
    10:10 Where the Market Stands Today
    15:02 Future Directions in Securities Financing
    17:52 Episode Conclusion and Outro
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    18 mins
  • 6: Redefining Collateral Mobility

    6: Redefining Collateral Mobility
    Jun 2 2025
    In this episode, Tonic CEO Chris Watts is joined by Head of Collateral Philip Forkan and guests from HQLAx - Erica De Rosa and Martin O’Connell, to explore how distributed ledger technology (DLT) is reshaping the collateral landscape in global capital markets.

    Together they take a practical look at the inefficiencies facing today’s collateral ecosystem and how digital innovation is driving real improvements in mobility, liquidity, and operational resilience.

    Key Highlights:
    • The global collateral market is worth in the realm of over €24 trillion, but fragmentation and inefficiencies create significant cost and risk.
    • Europe’s complex web of custodians and agents presents major challenges for interoperability and real-time settlement.
    • With the move toward T+1 and T+0 settlement cycles, the need for faster, more flexible collateral mobility has become urgent.
    • Use cases discussed include intraday liquidity, cross-custodian optimization, and digital margin transfers to CCPs.
    • Advice for firms looking to begin their digital transformation: start with a focused business case, identify the right internal stakeholders, and build momentum from there.
    Also featuring a light-hearted round of “Two Truths and a Lie” - this time with unexpected celebrity encounters.

    If you're exploring how digital solutions can streamline your collateral operations, this episode offers both insight and inspiration.

    00:00 Episode Intro
    02:55 Two Truths, One Lie Challenge
    05:19 Why is Collateral Playing Such a Significant Role?
    10:50 What Does HQLAx Do?
    16:22 Buy-Side and HQLAx
    19:20 Maximum Optimisation
    20:52 What Should Firms Be Thinking About Doing?
    23:08 Episode Conclusion and Outro

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    24 mins
  • 5: Documentation Considerations for the US Treasury Clearing Rules

    5: Documentation Considerations for the US Treasury Clearing Rules
    Apr 29 2025
    The latest episode of TonicBoom! is hosted by Philip Forkan, Tonic’s Head of Collateral, who was joined by Tonic’s head of post-trade, Philip Cook and our legal friends from D2LT Emma Wooldridge and Sydney Hassal.

    In this episode, the group addressed the SEC’s recent extension of clearing deadlines and what this could mean for market participants. The new compliance dates set for December 2026 (cash transactions) and June 2027 (repo) seem to give breathing room, but we know that the market is eagerly awaiting done-away trading models and new CCP offerings, which result in massive undertakings across financial firms and market participants who trade in-scope US Treasuries, particularly UST repo. New paper will be required for the ‘new’ clearing methods and CCP offerings.

    The podcast teams also addressed:
    • The growing need to standardize legal agreements across clearing access models for speed and efficiency
    • Lessons Learned from FINRA 4210, and
    • Smaller Player Challenges, or challenges for firms without exposure to derivatives markets
    Please do give it a listen, and reach out to us at Tonic to discuss your US treasury clearing compliance journey!

    00:00 Episode Intro
    02:45 Two Truths, One Lie Challenge
    09:30 Treasury Clearing Mandate
    16:22 What Should Clients Be Doing Today?
    18:00 Start Early and Maintain Momentum
    23:46 The Implementation Timeline Iceberg
    25:00 Episode Conclusion and Outro


    Show More Show Less
    25 mins
  • 4: Digital Assets - The Collateral Catalyst Part 2

    4: Digital Assets - The Collateral Catalyst Part 2
    Mar 19 2025
    Our Tonic CEO Chris Watts and Head of Digital Steven Czarnota are once again joined by our friends at State Street, Greg Donovan (Vice President of Collateral Client Solutions) and Sam Edwards (Head of Collateral EMEA/APAC).

    In this episode, we explore the transformative role of digital assets in collateral management. Industry experts discuss how tokenisation is reshaping the landscape of collateral, expanding liquidity, and enabling new possibilities for financial institutions. We also dive into the challenges of mobilising assets and the critical role of technology in simplifying asset transfer and settlement.

    Key Points:

    • Tokenisation of Collateral: How tokenising assets like money market funds is broadening the pool of collateral and enhancing liquidity.
    • Digital Asset Opportunities: The potential of digital assets to streamline collateral management and improve efficiency across financial markets.
    • Challenges and Solutions: The need for improved settlement processes and the role of technology in overcoming these barriers.
    0:00 Episode Introduction
    0:55 Emerging Digital Asset Trends
    2:58 Expanding Collateral Pools
    6:11 The Role of Tokenisation in Liquidity Management
    9:05 Solving Settlement Friction with DLT
    13:57 Integrating Smart Contracts and AI for Efficiency
    18:45 The Future of Tokenised Collateral
    21:49 Interoperability as the Key to Industry-Wide Adoption
    22:27 Episode Outro
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    23 mins
  • 3: Digital Assets - The Collateral Catalyst Part 1

    3: Digital Assets - The Collateral Catalyst Part 1
    Mar 19 2025
    Our Tonic CEO Chris Watts and Head of Digital Steven Czarnota are joined by our friends at State Street, Greg Donovan (Vice President of Collateral Client Solutions) and Sam Edwards (Head of Collateral EMEA/APAC).

    In this episode of TonicBoom!, we explore how digital is revolutionizing financial markets. As tokenization accelerates and native digital assets gain traction, institutions are rethinking how this impacts their collateral, settlement and liquidity processes.

    Key topics include:

    • Digital Trends – The latest trends across Digital Assets and AI
    • Use of Digital Assets – From tokenization of traditional assets through to the adoption of native digital assets
    • Collateral as a catalyst – Why Collateral is a key use case for the market
    • Industry Challenges – The move toward T+1 settlement and the need for greater optimisation

    This is just the beginning! Stay tuned for Part Two, where we dive even deeper into the future of digital assets and collateral.

    0:00 - Episode introduction
    01:58 - Meet the Experts
    03:12 - Two Truths, One Lie Challenge
    08:22 - State of the Digital Market
    11:01 - What Exactly is a Digital Asset?
    14:09 - Why is Collateral the Catalyst?
    17:03 - Current Industry Challenges in Collateral Management
    20:11 - Unlocking Liquidity through Tokenisation
    22:37 - The Road to a More Efficient Future
    24:25 - Episode Conclusion and Outro
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    25 mins
  • 2: Tonic Boom! Ep.2: U.S. Treasury Clearing - Access Models and Industry Insights

    2: Tonic Boom! Ep.2: U.S. Treasury Clearing - Access Models and Industry Insights
    Aug 5 2024
    In the second episode of our Tonic Boom! UST Clearing series, our Industry Ninjas (SMEs!) zoom in on the different Access Models that in-scope firms will need to choose from and implement.
    Our Tonic CEO Chris Watts and Head of Post-Trade Phil Cook are joined once more by our friends at State Street, including Jeff Sowell (Head of Financing Product) and Jordan Cobb Vice President, Secured Financing.
    Tune in for a deep-dive on the topics below, led by our experts:

    0:00 - Episode introduction
    01:48 - Meet the Experts
    02:36 - Two Truths, One Lie Challenge
    05:05 - Access Models for Treasury Clearing
    06:02 - FIC GSD Membership Types
    11:38 - Agent Clearing Model
    15:05 - How the Sponsored Member Model Works
    19:00 - Operating Model on the Sponsored Member Side
    24:13 - Practical Steps for Firms
    25:40 - Conclusion and Next Steps
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    27 mins