Northern Trust (Nasdaq: NTRS) and BondEvalue today announced the completion of the first blockchain-based fractional bond transaction.
Trading in a blockchain-based bond, known as BondbloX, was executed on the BondEvalue platform with Northern Trust as the exclusive provider of asset services. This comes after the two sides established a strategic partnership in November 2019 to provide integrated asset and digital management solutions for fractional ownership of fixed income bonds operating out of the Singapore Sandbox Express Monetary Authority. .
The BondEvalue platform combines the power of Distributed Ledger (DLT) technology to enable increased transparency, liquidity and faster settlement, while providing institutional-grade investment opportunities to new categories of investors .
Northern Trust provides securities services for wholesale bonds and will support the receipt of investments and redemption payments for the platform in a wide range of currencies. In what is considered an industry first, Northern Trust has developed the market-leading ability to communicate cash and securities settlement reports directly to BondEvalue’s DLT platform via an application programming interface. (API).
Justin Chapman, Global Head of Market Promotion and Innovation Research at Northern Trust said: “Digital assets bring significant benefits to the end investor and all participants in the value chain, as they improve confidence and liquidity within market segments due to the immutable record. An additional benefit of fractional ownership of digital assets is the ability to open up institutional bond markets to more types of investors – this is a positive step forward in expanding financial inclusion. “
Yen Leng Ong, Country Manager for South East Asia at Northern Trust said: “Singapore remains an important market for the deployment of DLT in the financial services system. The fintech regulatory sandbox environment has enabled Northern Trust to work collaboratively with BondEvalue for the benefit of investors and the broader financial market ecosystem. “
Rahul Banerjee, Founder, BondEvalue, said: “This milestone represents an important step towards greater accessibility of institutional grade bonds to certain investors. Our platform is greatly assisted by Northern Trust, which brings not only the confidence of custody and settlement, but also an advanced understanding of the transformative potential of DLT. “
BondEvalue is a Singapore-based fintech that has been changing Asian fixed income markets since 2016. The founders have decades of experience leading the debt markets, both on the business and technology side. BondEvalue brings innovation to bond price discovery, AI-powered news, analytics and delivers these services via mobile, web and API. In November 2019, BondEvalue unveiled the world’s first blockchain-based bond exchange that allows investors to trade BondbloX, which are $ 1,000 fractions of traditional wholesale bonds. The platform works on a B2B2C model and connects to the end investor via his bank or broker. Please visit bondevalue.com for more information. More details can be found at www.bondevalue.com.
About Northern Trust
Northern Trust Corporation (Nasdaq: NTRS) is a leading provider of wealth management, asset services, asset management and banking services to businesses, institutions, affluent families and individuals. Founded in Chicago in 1889, Northern Trust has a global presence with offices in 22 US states and Washington, DC, and through 22 locations in Canada, Europe, the Middle East and the Asia-Pacific region. As of June 30, 2020, Northern Trust had assets under custody / administration of US $ 12.1 trillion and assets under management of US $ 1.3 trillion. For over 130 years, Northern Trust has distinguished itself as an industry leader for its exceptional service, financial expertise, integrity and innovation. Please visit our website or follow us on Twitter.
Northern Trust Corporation, head office: 50 South La Salle Street, Chicago, Illinois 60603 USA, a limited liability company in the United States. Please read our general and regulatory information.
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