B3 Launches First Phase of Innovative Cloud-Native CSD System

In a significant leap forward for Brazil’s financial infrastructure, B3 has successfully deployed the initial phase of its new cloud-native Central Securities Depository (CSD) system in December 2024. This advancement was achieved through a strategic partnership with Vermiculus Financial Technology, a company renowned for its cutting-edge solutions in trading, clearing, and CSD technology.

The newly implemented system is based on Vermiculus' microservice architecture, known as the VeriSafe™ product, which will enable B3 to effortlessly scale operations to accommodate a potential ten-fold increase in capacity, considering the growing demands of the Brazilian market. This scalable solution promises not only to enhance capacity but also to introduce an array of new functionalities that will benefit market participants.

Innovative Features Enhancing Market Operations

A key feature of the new CSD platform is its extended opening hours, which are designed to meet the needs of market participants more efficiently. Furthermore, it offers new reporting capabilities, providing essential insights that will allow stakeholders to make informed decisions more effectively. According to Viviane Basso, B3’s Chief Operating Officer for Issuers, Depository, and OTC, the gradual rollout of the system has been meticulously planned to maintain stability and continuity, ensuring a smooth transition for all users.

The microservice architecture of VeriSafe™ not only enhances the scalability of the system but also ensures reliability during peak volumes and diverse asset management. This innovative approach equips B3 with the capabilities necessary to adapt to complex corporate actions and various asset types, making it an essential asset in today’s dynamic trading environment.

Smooth Transition and Future Developments

B3 and Vermiculus have adopted a phased implementation strategy, allowing the new CSD to operate in parallel with the existing system during the transition. This method provides stability and offers immediate value to participants by introducing desired functionalities from the outset. As emphasized by Taraneh Derayati, CEO of Vermiculus, this careful planning ensures both stability and a seamless transition for the market while simultaneously rolling out valuable features.

Currently, B3 and Vermiculus are working diligently on the second phase of the CSD project. This phase aims to re-route a broad spectrum of transaction types to the VeriSafe system, establishing it as the primary source for depository information. Such iterative progress will not only improve operational efficiency but will also solidify the new CSD system as a robust solution capable of adapting to the rapidly changing financial market landscape.

About Vermiculus Financial Technology

Founded in 2020, Vermiculus Financial Technology AB has been at the forefront of revolutionizing the technology underlying exchanges and clearing houses globally. The company, headquartered in Stockholm, Sweden, is driven by a team of industry experts whose collective knowledge has facilitated over 75 projects for major global exchanges, clearing houses, and CSDs. Their mission is to deliver mission-critical solutions that meet the increasing expectations of market participants.

As Brazil's financial landscape continues to evolve, B3's strategic partnership with Vermiculus represents a promising step towards enhancing technological infrastructure and operational efficiency in the financial sector. The successful deployment of this cloud-native CSD system sets the stage for a more robust, scalable, and innovative market environment in Brazil, paving the way for future growth and development.