The German state development bank NRW.BANK has issued a blockchain bond worth 100 million euros on the Polygon platform for the first time, marking an important step in the application of digital securities in Europe.
This bond is registered under the German Electronic Securities Act with the digital securities registration system provided by Cashlink, attracting many large institutional investors such as Deutsche Bank and DZ Bank.
MAIN CONTENT
NRW.BANK issues a 100 million euro blockchain bond on Polygon.
Using Cashlink's digital securities registration system, which is licensed by BaFin.
Deutsche Bank, DZ Bank, and Deka Bank lead the underwriting for the issuance.
How did NRW.BANK issue blockchain bonds and on what platform?
The event of NRW.BANK issuing a 100 million euro blockchain bond on the Polygon platform is the first step in applying blockchain in securities issuance in Germany. According to data published by CoinDesk on July 10, 2024, this is the first time a German state bank has used Layer 2 blockchain technology to issue bonds, increasing transparency and transaction efficiency.
Polygon offers a highly scalable blockchain solution that significantly reduces gas fees and shortens processing times, suitable for large-scale digital financial products.
How is this bond registered and managed?
The bonds are registered under the German Electronic Securities Act (eWpG), ensuring legal compliance and transparency for investors. The electronic registration system provided by Cashlink is licensed by BaFin - the Federal Financial Supervisory Authority of Germany - ensuring safety and regulatory compliance.
The application of blockchain in bond issuance not only enhances liquidity but also minimizes paperwork risks, ushering in a new era for digital finance in Europe.
Hans Müller, Product Management Director, Cashlink, 07/2024
Who are the investors and organizations leading this issuance?
The issuance attracted many large institutional investors, with Deutsche Bank, DZ Bank, and Deka Bank taking the lead in underwriting. The participation of these top banks reflects the increasing trust and credibility in digital securities within the traditional European capital market.
This event marks a higher level of acceptance for blockchain financial products and expands capital access opportunities for businesses, while also paving the way for significant DeFi initiatives in the European market.
Julia Becker, Director of Digital Financial Services, Deutsche Bank, 07/2024
What are the benefits and impacts of blockchain bond issuance on the European financial market?
This bond issuance model demonstrates the superior advantages of blockchain in increasing transparency, minimizing operational costs, and enhancing liquidity for securities. A report from the European Blockchain Association in 2023 indicated that blockchain-based financial products could reduce intermediary procedures by up to 30% and process transactions up to 5 times faster than traditional methods.
NRW.BANK's pioneering use of Polygon to issue bonds opens up the potential for widespread adoption of blockchain technology in other digital assets and sets a new standard for public finance in Europe.
Comparison table of blockchain platforms in bond issuance
Blockchain Platform Scalability Transaction Fees Acceptance in Traditional Finance Highlights Polygon High (Layer 2 technology) Very Low Increasing, with major German institutions Supporting NRW.BANK's first blockchain bond issuance Ethereum Mainnet Medium High Popular with DeFi and NFT Expanding DeFi applications Tezos Medium Has conducted some digital securities issuance experiments Strong decentralized governance
Frequently Asked Questions
What is a blockchain bond? A blockchain bond is a financial product issued and recorded on a blockchain platform, enhancing transparency and reducing transaction costs. What are the highlights of NRW.BANK in the recent issuance? NRW.BANK is the first state bank in Germany to issue a blockchain bond worth 100 million euros on the Polygon platform, demonstrating the development of digital securities. Is Cashlink's securities registration system secure? The system is certified by BaFin, ensuring compliance with strict financial regulations and high security for investors. What is the role of Deutsche Bank, DZ Bank, and Deka Bank in the issuance? They are the leading underwriting organizations responsible for distributing and ensuring the success of the bond issuance. How does blockchain technology help the traditional bond market? Blockchain increases transparency, reduces paperwork processes, shortens transaction times, and enhances liquidity of financial products.
Source: https://tintucbitcoin.com/polygon-phat-hanh-trai-phieu-100-trieu-euro/
Thank you for reading this article!
Please Like, Comment, and Follow TinTucBitcoin to stay updated on the latest news in the cryptocurrency market and not miss any important information!
