Australia's main stock exchange has announced one of the finance industry's biggest bets yet on blockchain.

ASX Ltd will start using blockchain - the ledger software that makes bitcoin and other cryptocurrencies possible - to process equity transactions, according to a statement on Thursday.

Credit:Ben Rushton

Digital Asset Holdings, the start-up run by former JPMorgan Chase & Co banker Blythe Masters, will supply the technology.

"We're the first exchange to consider taking this step," said Peter Hiom, ASX deputy chief executive said on a media conference call.