December 1, 2022

Standard Chartered together with the Central Bank of the Philippines issued blockchain bonds worth 187 million dollars

On Monday, Standard Chartered Bank and the Central Bank of the Philippines announced that they had completed the pilot issuance of tokenized retail bonds worth nine billion Philippine pesos ($187 million).These bonds were issued on a blockchain platform.

Development of a platform for bond tokenizationwas handled by SC Ventures, a division of Standard Chartered, based in Singapore. The Bank of the Philippines, for its part, issued two-tranche issues for a period of three and five years, which were displayed on the platform in tokenized form.

The main goal of the project, according to Aaron Gwaku, head of capital markets at Standard Chartered Bank in ASEAN, the main goal of the project was to create a platform that would allowretail investors to access bonds:

"The traditional bond infrastructure around the world is designed primarily for institutional investors.It includes a significant number of intermediaries to buy and then trade bonds, making it less accessible to retail investors."

Standard Chartered and Central Bank of the Philippinesthis is not the first time they have cooperated in the bond issue. Earlier this year, they launched, Bonds.PH, a retail Treasury bond platform, in partnership with the Philippine Treasury and PDAX digital asset exchange.

Also, according to the report of the Ophylippin edition PhilStar Global, the Central Bank of the Philippines in 2019 issued its own staple, called PHX.Its sales were the first blockchain-based transactions conducted by a Philippine bank.