First Tokenised Notes Are Issued By The Bank of China’s BOCI

BOCI, the business banking arm of the Bank of China, has put out a tokenized security on the Ethereum main blockchain in Hong Kong.

BOCI gave out CNH 200 million in totally digital structured notes, which were created by UBS and sold to its clients in Asia Pacific.

UBS had already given out a $50 million tokenized fixed rate note on a permissioned blockchain in December. This was done under English and Swiss law.

The most recent deal is the first of its kind in the Asia-Pacific region to be created under Hong Kong and Swiss law and tokenized on the main Ethereum blockchain, bringing regulated securities to a public blockchain for the first time.

Ying Wang, deputy CEO, BOCI, says:

“Working together with UBS, we are driving the simplification of digital asset markets and products, for customers in Asia Pacific through the development of blockchain-based digital structured products, designed specifically for customers in Asia Pacific.”

The worldwide head of MTN Trading at UBS, Aurelian Troendle, adds:

“High-frequency issuance activity can benefit from vast efficiency gains through the use of blockchain technology, which will ultimately bring advantages to investors.”