French investment bank Credit Agricole CIB and Swedish bank SEB, stalwarts of traditional finance (TradFi) in Europe, have joined forces to develop a blockchain-based platform for digital bonds.
The platform will allow companies to raise capital by issuing digital bonds on a blockchain network with the aim of improving “efficiency and enabling real-time data synchronization,” according to a statement received by email. Users will be able to manage securities and raise capital through smart contracts.
The project joins others applying similar technology to conventional markets. In March, Brussels-based Euroclear said it may release a new platform for trading securities on a distributed ledger later this year. The banks’ statement didn’t say when the platform, named sobond, would start operating, and they hadn’t replied to an email seeking clarification by press time.
(By Lyllah Ledesma)
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