HSBC completes first digital native structured product launch in Hong Kong

In comparison, HSBC announced on July 10 that it has completed the issuance of its first digital native structured product in Hong Kong as a private placement of a structured note denominated in US dollars. The note is issued directly on the blockchain rather than being digitized after it has been issued. Marketnode, an Asia-Pacific digital market infrastructure operator, acts as a tokenization agent and digital payment agent, managing the payment process between issuers and investors.

Marketnode is supported by Euroclear, HSBC, SGX Group and Temasek. HSBC has positioned the deal as a pilot project to show how tokenization can improve issuance, settlement and ongoing services throughout the product lifecycle. HSBC did not disclose the scale of issuance, reference assets, term of notes, investor status, or blockchain used. The offering continues HSBC's long-standing presence in the tokenization field. Previously, it had issued digital native bonds through the HSBC Orion platform and launched retail gold tokens in Hong Kong.