Santander recently used blockchain to allow investors to vote at an annual general meeting (AGM). Santander and Broadridge collaborated with J.P Morgan and Northern Trust to produce a shadow digital register of proxy voting.
Blockchain technology increases transparency, efficiency, security, and analytics. This method improves corporate democracy and could increase the motivation to vote.
The manual counting of votes included many intermediaries and usually took up to took weeks for results to come out. Counting of votes with Blockchain is faster and results are almost instantaneous.
Benefits Of Blockchain For Santander’s Voting System
Broadridge established a distributed network that enhances transparency when it comes to voting. Patricia Rosch, president of investor communication solutions at Broadridge comments on the blockchain-based proxy voting solution. She says Broadridge is committed “to developing innovative technology solutions in the […] of global proxy to help our clients get ahead of today’s challenges.”
Luis Antonio Perez, head of Corporate Services at Banco Santander expressed his confidence in blockchain technology. He notes that “The blockchain technology has enhanced efficiency and transparency upon the reception and vote tabulation process, which will result in bridging the gap between all in the process.”
Sergio Gomez, global head of Shareholders and Investor Relations at Santander listed blockchain technology as a good way to “ensure the participation by investors and shareholders,”