According to Deep Tide TechFlow news on July 3, reported by CoinDesk, the Abu Dhabi Securities Exchange (ADX) announced preparations to list the first blockchain-based bond in the Middle East and North Africa region, which will be issued by First Abu Dhabi Bank (FAB) using HSBC’s digital asset issuance platform Orion.
This bond will be recorded and traded on distributed ledger technology, allowing investors to directly purchase and hold it on the blockchain, with the potential to accelerate settlement times, reduce counterparty risk, and enhance transparency. Global institutional investors can access this bond through major securities settlement systems, including Euroclear, Clearstream, and Hong Kong’s Central Money Markets Unit.
The CEO of ADX Group, Abdulla Salem Alnuaimi, stated that this move not only expands the use of institutional-grade digital tools but also lays the foundation for a broader range of tokenized asset classes, including green bonds, Islamic bonds, and real estate-related products. This initiative is part of a broader strategy for Abu Dhabi to play a key role in the tokenization of physical assets, with multiple reports predicting that the tokenized physical asset market could grow to trillions of dollars in the coming years.
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Abu Dhabi Securities Exchange will list the first Blockchain bond in the Middle East and North Africa region.
According to Deep Tide TechFlow news on July 3, reported by CoinDesk, the Abu Dhabi Securities Exchange (ADX) announced preparations to list the first blockchain-based bond in the Middle East and North Africa region, which will be issued by First Abu Dhabi Bank (FAB) using HSBC’s digital asset issuance platform Orion.
This bond will be recorded and traded on distributed ledger technology, allowing investors to directly purchase and hold it on the blockchain, with the potential to accelerate settlement times, reduce counterparty risk, and enhance transparency. Global institutional investors can access this bond through major securities settlement systems, including Euroclear, Clearstream, and Hong Kong’s Central Money Markets Unit.
The CEO of ADX Group, Abdulla Salem Alnuaimi, stated that this move not only expands the use of institutional-grade digital tools but also lays the foundation for a broader range of tokenized asset classes, including green bonds, Islamic bonds, and real estate-related products. This initiative is part of a broader strategy for Abu Dhabi to play a key role in the tokenization of physical assets, with multiple reports predicting that the tokenized physical asset market could grow to trillions of dollars in the coming years.