🏦 LSEG Goes Blockchain: First Private Fund Transaction Completed

The London Stock Exchange Group (LSEG) just flipped the switch. On September 15, 2025, it executed its first blockchain-powered private fund transaction — a move that could permanently reshape how capital markets operate.

The deal used LSEG’s new Digital Markets Infrastructure (DMI), hosted on Microsoft Azure, and connected institutional players in a regulated, blockchain-native way.

⚡ Quick Hits

• 🖥️ Platform: Digital Markets Infrastructure (DMI)
• ☁️ Tech Partner: Microsoft (Azure-hosted)
• 💼 First asset class: Private funds
• 👥 Early participants: Memberscap, Archax, EJF Capital
• 🔄 Capabilities: Issuance, tokenization, distribution, post-trade settlement, servicing
• 🔗 Integration: Works with both blockchain + TradFi systems, incl. LSEG Workspace

🚀 What Just Happened

LSEG confirmed the first transaction on DMI, completing a primary fundraise for MCM Fund 1.

• Memberscap → General Partner
• Archax → Nominee for a major Web3 foundation
• EJF Capital → Onboarded as an early adopter

The platform covers the full investment lifecycle — from issuance to post-trade servicing — while running in a regulated environment.

🔎 Why It Matters

DMI isn’t just about slapping “blockchain” onto finance. It’s designed to:

• Boost efficiency & scalability across fund management
• Increase transparency for investors
• Enhance liquidity by widening access to private funds
• Simplify distribution & servicing with tokenized infrastructure

LSEG said it best:

“DMI adopts an open and interoperable philosophy. It brings together participants from across the international market to broaden distribution, raise capital, increase liquidity, and service assets within a trusted and regulated environment.”

📊 Private Funds First — But Not the Last

For now, private funds are the debut asset class. But LSEG’s roadmap points bigger:

• Equities
• Bonds
• Alternative investments

All could be on the menu as blockchain rails prove themselves in regulated markets.

🌍 The Bigger Picture

This milestone shows where capital markets are heading: regulated, blockchain-native, but TradFi-compatible.

• Microsoft Azure brings cloud scalability.
• Archax & Memberscap provide crypto-native adoption.
• LSEG Workspace ensures institutional discovery and analysis.

By fusing blockchain efficiency with market compliance, LSEG positions itself as the bridge between TradFi and DeFi.

⚡ TL;DR

LSEG has launched its Digital Markets Infrastructure (DMI) and executed the first blockchain-powered private fund transaction with Memberscap, Archax, and EJF Capital. Hosted on Microsoft Azure, DMI enables issuance, tokenization, and settlement in a regulated environment. Starting with private funds, it could expand to equities and bonds, making blockchain adoption in capital markets real, regulated, and scalable.