🚀 UK Plans Pilot Digital Gilt Bonds Using Distributed Ledger Technology
#UK #DigitalBonds #GiltBonds #DistributedLedgerTechnology #DLT #FinanceMinister #TulipSiddiq #DIGIT #DigitalSecurities #DebtManagementOffice
According to Odaily, the UK's Finance Minister, Tulip Siddiq, has confirmed plans to issue pilot digital gilt bonds using distributed ledger technology (DLT). These digital bonds are equivalent to UK government bonds. Siddiq noted that this pilot initiative will be part of a digital securities sandbox but will not fall under the jurisdiction of the Debt Management Office (DMO), which is responsible for all gilt and treasury bill operations.
Prior to this announcement, reports from the Financial Times indicated that despite opposition from the DMO, Siddiq is determined to advance the digital gilt bonds initiative, known as DIGIT. The report cited a former minister and several department officials who mentioned that the DMO is resisting this move. The introduction of DIGIT represents a significant step in the UK's exploration of digital securities, aiming to leverage the benefits of DLT in government bond issuance.#UK #DigitalBonds #GiltBonds #DistributedLedgerTechnology #DLT #FinanceMinister #TulipSiddiq #DIGIT #DigitalSecurities #DebtManagementOffice
🚀 UK Treasury Selects HSBC Blockchain Platform for Digital Bond Pilot
#UKTreasury #HSBC #Blockchain #DigitalBond #DIGIT #Orion #DebtCapitalMarkets #FinancialConductAuthority #GreenBond #BlockchainTechnology #RegulatedTesting
According to Odaily, the UK Treasury has selected HSBC Holdings' blockchain platform Orion to pilot the issuance of the country's digital bond instrument, DIGIT. HSBC stated that issuing bonds on a blockchain can improve the structure of the UK's debt capital markets by accelerating settlement speeds. The UK Treasury plans to issue these digital instruments within a regulated testing environment managed by the Financial Conduct Authority. HSBC’s Orion platform has been used for the issuance of over US$3.5 billion in digitally native bonds globally, including the European Investment Bank’s first digital sterling bond in 2023 and the multicurrency US$1.3 billion equivalent green bond issued by the Hong Kong government last year.#UKTreasury #HSBC #Blockchain #DigitalBond #DIGIT #Orion #DebtCapitalMarkets #FinancialConductAuthority #GreenBond #BlockchainTechnology #RegulatedTesting