Today Singapore Exchange (SGX) announced its first bond issue using a blockchain platform. The bond from agribusiness Olam International was issued in parallel to the conventional S$400 million ($295m) 5.5-year syndicated public bond and S$100 million tap. HSBC provided its on-chain settlement solution and sovereign wealth fund Temasek also participated in the platform development. The plans for the solution were announced ten months ago.
This is part of SGX’s digital asset platform for issuance, servicing and it acts as a depositary. Digital Asset’s DAML smart contract language was used to program the debt issuance workflow.
“Debt capital markets globally are characterised by deeply engrained legacy systems and processes which can be made faster, more accurate and efficient with this new technology,” said Lee Being Hong, Senior MD at SGX. “We look forward to playing a part in strengthening the fixed income market infrastructure of Singapore, Asia’s fixed income hub for bond issuers.”
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