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the ASX Ltd (ASX:ASX) the stock price is in the red today, down 0.57%.
This like the S&P/ASX 200 Index (ASX:XJO) records another day of gains, up 0.5% at the time of writing.
ASX shares closed Friday at $80.49 and are currently trading at $80.03.
Here is the update that seems to be hanging out on the listed exchange group today.
What update was announced?
ASX stock price came under some selling pressure after the company reported a delay in rolling out its CHESS replacement project.
The ASX has been working on a blockchain-based clearing and settlement system to replace its CHESS platform.
If you are unfamiliar, CHESS stands for Clearing House Electronic Subregister System. Although it’s a mouthful, it’s just a computer system that the ASX uses to settle stock trades and record holdings.
The ASX said the timing of the next software release was the cause of the delay.
The company opened its first fully integrated industrial test environment (ITE1) in November. He said accreditation can begin once this software is available, which will now be in July instead of late April.
The ASX noted, “There is a high likelihood of a delay to the go-live date. We will work with our software vendor and stakeholders to assess the impact and update the market on this process.”
Tim Hogben, Head of ASX’s Securities and Payments Business Group, said:
We now have 25 software vendors – including all vendors – doing functional testing and we have successfully built and tested the system of almost all the mandatory features and over 90% of the optional features of the new systems functionality with software vendors in ITE1.
Looking ahead to the rollout of the replacement system, Hogben added:
The replacement of CHESS is an ongoing process with industry, and industry engagement will be even greater as we move into the CHESS user testing environment and operational readiness activities, and agree to an approach that ensures the greatest confidence in a safe, secure and efficient system at commissioning.
ASX Stock Price Overview
ASX stock price has been under pressure in 2022, down 13% since the January 4 opening bell.
By comparison, the ASX 200 is down 1.9% year-to-date.