The tokenization of assets is gaining momentum. In the financial sector in particular, this digital process tends to impose itself as a means of simplifying transactions.
Bank of China issues $28 million in tokenized securities in Hong Kong
Bank of China issued 200 million Chinese yuan ($28 million) of digital structured notes. The operation announced on Monday June 12, via its subsidiary Bank of China International (BOCI), was carried out on the Ethereum blockchain.
This deal is unprecedented insofar as BOCI is the first Chinese financial institution to issue tokenized securities. This development confirms the success of the collaboration with the Swiss investment bank UBS on this project.
With it, BOCI offers its clients in Asia-Pacific a digital asset that simplifies their activities in the financial markets. “By collaborating with UBS, we are driving the simplification of digital asset markets and products, for clients in the Asia-Pacific region, through the development of blockchain-based digital structured products”explained Ying Wang, deputy general manager of BOCI.
It should be noted that the tokens thus securitized are governed by the legislation of Switzerland and Hong Kong. And it is not a hazard. Because this territory is actively working to play a leading role in blockchain and cryptos.
In February, for example, Hong Kong issued $800 million in green bonds. It is a type of bond issued with the aim of financing projects with an environmental or social purpose. The one made by Hong Kong had the particularity of being tokenized on the GS DAP tokenization protocol from Goldman Sachs.
And this is not the only initiative of its kind carried out by Hong Kong. Earlier, in December 2022, Hong Kong authorities introduced two crypto ETFs. Operations that allowed them to raise more than $70 million before their launch.
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