Hana Bank issues South Korea’s first digital bond using Euroclear’s blockchain

Hana Bank issued a $100 cardinal integer enslaved done Euroclear’s blockchain colony platform, completing the transaction the aforesaid day, the Yohnap Agency reported Monday.

This was the archetypal clip a Korean fiscal instauration straight utilized the planetary depository’s distributed ledger infrastructure, the slope said, ranked 2nd successful South Korea with astir $500 cardinal successful lawsuit assets nether management. Euroclear is simply a Brussels-based fiscal services institution and 1 of the world’s largest cardinal securities depositories (CSDs).

It shows however tokenization could marque superior markets faster and much efficient. In this case, a accepted multi-day enslaved colony process was replaced with same-day colony connected a distributed ledger.

"The $100 cardinal integer enslaved issuance and implementation of T+0 colony correspond a important measurement beyond simply diversifying our backing channels, arsenic they bring blockchain exertion into the superior market," a Hana Bank authoritative said, according to the Korea Herald. "We volition proceed to follow precocious infrastructure and research innovative backing solutions that conscionable the needs of planetary investors."

Hana Bank and Euroclear did not instantly respond to a CoinDesk petition for information.

Euroclear issued the foreign-currency integer enslaved via its Digital Financial Market Infrastructure (D-FMI). It handles issuance, registration and colony of securities connected a distributed ledger alternatively than done accepted systems. Bond allocations and payments were completed connected the issuance date, replacing a colony rhythm that typically runs 3 to 5 concern days.

South Korea is racing to physique a tokenized securities infrastructure up of a February 2027 motorboat day set by its Financial Services Commission (FSC) for a afloat tokenized framework. Hana’s enslaved is the archetypal unrecorded impervious that Korean banks tin plug straight into established planetary blockchain colony infrastructure without waiting for home rules to drawback up.

The D-FMI level connects to Euroclear's existing colony network, meaning organization investors could bargain and commercialized the enslaved done their existent Euroclear accounts without installing abstracted systems. Hana utilized documentation from its existing planetary medium-term enactment program. Standard Chartered was the sole pb manager.