Failure to deliver is mostly due to naked shorts and can be easily solved by a corresponding regulation. It is completely orthogonal to the Blockchain concept: one can implement settlement rules which require locating shares prior to shorting them, another implementation wouldn&#x27;t care about locating shares as long as there is an obligation to cover naked short at the end of the trading day.<p>Patrick Byrne from t0 will agree with you, but that&#x27;s b&#x2F;c he&#x27;s against naked shorts.<p>[1] <a href="https:&#x2F;&#x2F;t0.com&#x2F;" rel="nofollow">https:&#x2F;&#x2F;t0.com&#x2F;</a>