Singaporean bank DBS, one of the largest in the region, plans to issue tokenized structured bonds on the Ethereum blockchain {$ETH ). These bonds will be available on platforms ADDX, DigiFT, and HydraX.
What are structured bonds?
This is a financial instrument that combines traditional bonds and derivatives. Their feature is that their yield is linked to the value of a specific asset — in this case, to cryptocurrencies.
Benefits of tokenization
Typically, the minimum threshold for investing in such bonds is $100,000. Thanks to tokenization, DBS will be able to divide them into smaller parts with a denomination of $1,000. This will make them more accessible to a broader range of investors and increase trading flexibility.
Collaboration with platforms ADDX, DigiFT, and HydraX will allow the bank to reach institutional and accredited investors who are not its clients.
According to DBS's report, these bonds provide additional income during the rise of virtual asset prices and help mitigate risks in the event of their decline.
Furthermore, DBS also plans to issue tokenized structured bonds linked to stocks and credits, although the exact timelines are not specified. According to the bank, in the first half of 2025, clients have already invested in cryptocurrency structured bonds totaling $1 billion, indicating a growing demand for the tokenization of real-world assets (RWA).
