Euroclear, a leading securities settlement house, has launched a digital securities issuance service and successfully settled a 100-million-euro digital bond issued by the World Bank. This marks the first step in Euroclear’s digital infrastructure strategy. The three-year bond, known as a digitally native note, was issued by the International Bank for Reconstruction and Development, a World Bank lending arm, to raise funds for sustainable development. It was listed on the Luxembourg Stock Exchange and completed on October 23. Euroclear’s digital infrastructure is connected to its traditional platform for secondary operations and is compliant with the European Union’s Central Securities Depositories Regulation. The platform operates on R3’s Corda blockchain technology. Euroclear’s new service offers issuers and investors the opportunity to further embrace the ongoing transition to digitization in the capital markets. The bond issuance was settled under English law, with Citi Issuer Services acting as the issuing and paying agent and TD Securities as the issuer agent. Euroclear follows in the footsteps of other institutions that have embraced digital bonds, including the World Bank, which issued the world’s first digital bond in 2018. This year, digitalized bonds have been issued in Hong Kong dollars and Chinese yuan, and the Luxembourg Stock Exchange registered its first digital bond denominated in Swedish krona in June. The Tel Aviv Stock Exchange also completed a proof-of-concept for tokenizing bonds in June. DTCC, another major settlement house, recently announced the acquisition of digital infrastructure developer Securrency, positioning itself to unlock the value of digital assets.
This News Article was automatically generated by Bob the Bot (AI)
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | Europe |
| Countries | 🇱🇺 🇸🇪 |
| Sentiment | positive |
| Relevance Score | 1 |
| People | Anshula Kant |
| Companies | World Bank, Tel Aviv Stock Exchange, TD Securities, R3, DTCC, Securrency, Euroclear, Corda, Citi Issuer Services, International Bank for Reconstruction and Development, Luxembourg Stock Exchange |
| Currencies | Chinese Yuan, Hong Kong Dollar, Swedish Krona, Euro |
| Securities | None |
