• Days
  • Hours
  • Mins
  • Secs
  • Wed, 18 Sep 2019, 02:51 AM
  • All times are UTC
  • Edition:
    International
Copy link
Increase text size
Decrease text size
Link copied

Societe Generale issues €100m of covered bonds as security token on Ethereum blockchain

Image via Emerging Europes

Wed, 24 Apr 2019, 03:29 am UTC

French investment banking giant Societe Generale has announced that it has issued the first covered bond as a security token on a public blockchain.

Covered bonds are debt securities issued by a financial institution and collateralized against a pool of assets. In case the financial institution becomes insolvent, the bond is covered.

In a press release dated April 23, the bank said that its subsidiary Societe Generale SFH issued EUR 100m of covered bonds (obligations de financement de l’habitat or “OFH”) as a security token, directly registered on the Ethereum blockchain on April 18.

OFH Tokens have been rated Aaa / AAA by Moody’s and Fitch and have been fully subscribed by Societe Generale, the release said.

This marks the first pilot project developed by Societe Generale and Societe Generale FORGE, an internal startup launched via the Internal Startup Call, an intrapreneurship programme launched by Societe Generale in 2017. The startup explores various blockchain-based business solutions to develop new digital capital market activities.

Societe Generale said the live transaction explored a “more efficient process” for bond issuances and sees the possibility for many areas of added value such as product scalability and reduced time to market, computer code automation structuring, thereby facilitating better transparency, faster transferability and settlement.

“It proposes a new standard for issuances and secondary market bond trading and reduces cost and the number of intermediaries,” it added.

For the project, Gide Loyrette Nouel was appointed as legal advisor to the OFH Token issuer and PwC France and francophone Africa was involved as blockchain advisor.

Societe Generale has been actively involved in a number of blockchain initiatives. This includes we.trade, the first blockchain-based trade finance platform now available to all its corporate clients in France, and komgo SA which aims to digitalise the trade and commodities finance sector through a blockchain based open platform.

<Copyright © TokenPost. All Rights Reserved. >

To leave a comment, please sign in.
More
  • Bitcoin (BTC) $10,262.10 (+0.01%)
  • Ethereum (ETH) $212.55 (+7.64%)
  • XRP (XRP) $0.306300 (+17.34%)
  • Bitcoin Cash (BCH) $325.76 (+6.06%)
  • Litecoin (LTC) $75.58 (+4.10%)
  • Bitcoin (BTC) $10,262.10 (+0.01%)
Sep 17, 2019 (Tuesday)
14:34
Wells Fargo to pilot internal blockchain-based digital currency for payments
12:57
Marsh, Arch Insurance (UK) Limited launch insurance solution for digital assets ‘Blue Vault’
12:18
Crypto Technicals: Major Cryptocurrency Support Resistance Levels
12:17
Crypto Technicals: Major Cryptocurrency Daily Technical Outlook
11:45
Crypto exchange Binance backs Chinese crypto news portal Mars Finance
10:55
Crypto Technicals: XMR/USD rejected at 200-DMA, scope for resumption of weakness
10:18
Hedera Hashgraph blockchain goes live with 26 dapps
08:38
Crypto Technicals: Ethereum pauses shy of $200 mark, set to extend bullish momentum
07:38
Harbor tokenizes iCap Equity’s $100M real estate funds using ethereum blockchain
06:48
Crypto Technicals: BCH/USD fails to extends weakness below 200-DMA, retrace above will see upside resumption
06:02
Women in Leadership: Publicis Sapient hires Merril Lynch veteran Priya Bajoria as SVP Financial Services
05:24
Crypto Technicals: IOT /USD forms successive Dojis at cloud resistance, dents scope for upside continuation
05:17
Crypto payment services BitPay to roll out Ethereum support in the coming weeks
04:37
Blockchain food provenance platform OpenSC secures $4M in seed funding
04:03
Australia's REIQ partners with Igloo to develop blockchain-based tenancy agreements
03:48
Crypto exchange OKEx Korea to remove all privacy coins, including monero, dash, zcash, over FATF's 'travel rule'
03:39
Aventus unveils new ticketing protocol Aventus Classic and $15K prize for blockchain developers
03:35
C4IR UAE, World Economic Forum introduce blockchain accelerator program at Dubai's Area 2071
Sep 16, 2019 (Monday)
11:57
Crypto Technicals: Major Cryptocurrency Daily Technical Outlook
11:31
Crypto Technicals: Major Cryptocurrency Support Resistance Levels
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.
PUBLISHsoft