CIB Issues Germany's First Digital Registered Covered Bond on Blockchain
On August 28th, 2024, our website Corporate & Investment Banking (CIB) made history by issuing Germany's first digital registered covered bond on the blockchain. This significant step was made possible by Frankfurt-based fintech SWIAT, which provided the tokenization software and blockchain network. The issuance volume reached EUR 100mn, with DekaBank acting as investor, registrar, and paying agent.
The digital transformation of the issuance process brought numerous benefits. It enabled same-day settlement, optimizing security standards, and making the bond more attractive to investors due to improved tradability and lower fulfillment risk. Hansjörg Patzschke, Chairman of the Board of our website Pfandbriefbank AG, expressed his delight in bringing registered covered bonds to the market in digital format.
CIB's commitment to pioneering the tokenization of assets is evident in this milestone transaction. The organization is dedicated to supporting clients in their tech transformation, particularly in digital assets and tokenization. Despite the lack of information about the coordinator of the SWIAT blockchain network in search results, the successful issuance demonstrates the potential of blockchain technology in revolutionizing financial processes.
The first digital registered covered bond issuance on the SWIAT blockchain marks a significant step forward for CIB and the wider financial industry. It showcases the benefits of digital transformation in improving settlement times, security, and investor appeal. As CIB continues to support clients in their tech transformation, further innovations in digital assets and tokenization can be expected.
