Credit Agricole and SEB launch digital bond platform

Credit Agricole, SEB, launch, digital bond, platformSwedish asset servicer SEB and French bank Credit Agricole have partnered for the joint development of a digital bond platform based on blockchain technology.

Named so|bond, the platform will enable firms to issue digital bonds onto a blockchain network in pursuit of greater efficiency and real-time data synchronisation.

The blockchain network will also use a validation protocol, Proof of Climate awaReness, designed to minimise the environmental impact of any transaction.

The high energy consumption of blockchain technology has been one of the main barriers to wider adoption. According to SEB and Credit Agricole

“We see this as a great opportunity to learn what the future entails in terms of transparency, faster processing and operational simplifications, and will use a bond as the first stepping stone before expanding the use of the platform to other asset classes,” said Anna Sjulander, head of sovereigns, supranationals and agencies debt capital markets at SEB.

The platform and the blockchain technology were developed in collaboration with the IT provider Finaxys, while the environmental footprint is measured according to a methodology developed by APL Data Center.

©2023 fundsTech