Toronto Stock Exchange operator TMX Group, in collaboration with Accenture, has unveiled an electronic shareholder voting system prototype based on blockchain technology.

Designed as a public company solution for TSX Trust, TMX's transfer agency and corporate trust services provider, the E-Proxy voting system prototype aims to significantly improve the efficiency and accuracy of the voting process during annual shareholder meetings, while also enhancing security through advancements in cryptography.

The use of distributed ledger technology in the e-voting system is also designed to help increase engagement in corporate governance actions by removing the need for shareholders to be physically present during the voting process.

Loui Anastasopoulos, president of TSX Trust, said: “TSX Trust is excited to be at the forefront of meaningful progressive change in our industry and to provide our valued clients with leading edge tools to enable them to better serve their shareholders and fulfil their public company obligations.”

David Treat, managing director of Accenture's financial services industry blockchain practice, added: “Leading-edge exchanges around the world are embracing the potential for blockchain technology to reinvent client services. TMX's approach aligns with our vision and commitment to making blockchain technology a paradigm-shifting reality within the capital markets sector.”

Canada’s TMX Group is following in the footsteps of the Abu Dhabi Securities Exchange which in October last year announced the introduction of blockchain technology in its e-voting services, which “allows the concerned parties involved to directly connect and monitor voting in any Annual General Meeting”.

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