Key Takeaways:
- BOCI has achieved a significant milestone by issuing fully digital structured notes worth CNH 200 million
- This initiative makes BOCI the first Chinese financial institution to issue a tokenized security in Hong Kong.
Blockchain technology continues to revolutionize the financial industry, and China is now making its mark with a significant milestone. Bank of China International (BOCI), one of the country’s leading financial institutions, has recently issued China’s first tokenized security on the Ethereum blockchain.
Bank of China International (BOCI) recently conducted an issuance of structured notes worth CNH 200 million (equivalent to $28 million), with the renowned Swiss banking institution UBS overseeing the underwriting process and placement of the securities among clients in the Asia Pacific region.
According to an official statement from BOCI, this event marked the inaugural instance of a Chinese financial institution issuing tokenized securities on a public blockchain in Hong Kong.
By choosing the Ethereum blockchain, BOCI has tapped into a mature and robust ecosystem that supports the creation and execution of smart contracts. Ethereum’s open-source infrastructure provides a trusted platform for the issuance and trading of tokenized securities, allowing for interoperability, scalability, and community-driven innovation.
Additionally, Ethereum’s vast developer community and widespread adoption make it an ideal choice for BOCI to pioneer tokenized securities in Hong Kong.
“By creating blockchain-based digital structured products that are specifically tailored for consumers in Asia Pacific, we are advancing the simplicity of digital asset markets and products for customers in the region in collaboration with UBS.
The expansion of Hong Kong’s digital economy gives us hope, and we’re determined to support the digital transformation and creative growth of the city’s financial sector, according to Ying Wang, deputy CEO of BOCI.
Wang expressed his optimism regarding the progress of Hong Kong’s digital economy and affirmed BOCI’s dedication to driving the digital transformation and fostering innovation within the financial industry of Hong Kong.
The adoption of tokenized securities not only enhances the efficiency and transparency of financial markets but also attracts blockchain-based companies and investors to Hong Kong. Hong Kong has long been recognized as a global financial centre with a robust regulatory framework and a conducive business environment.
