SEB and Crédit Agricole CIB Launch Digital Bonds Focusing on Environmental Considerations

Photo by Margot RICHARD on Unsplash

Previously, Crédit Agricole CIB and SEB made a joint announcement regarding the launch of so|bond, a new public blockchain-based platform.

According to the release (1), the platform’s primary objective will be to enhance the effectiveness of issuing digital bonds, albeit with a modicum of attention paid to environmental considerations.

That is to say, although the network is not entirely preoccupied with green bonds, it does endeavor to conduct its business in an environmentally responsible manner.

To accomplish this goal, the platform will work to find ways to reward individuals who reduce their environmental impact.

It will accomplish this by utilizing a validation mechanism that it refers to as “Proof of Climate awaReness.”

This protocol will be modified in such a way that it will reward node owners with the Climate awaReness Coin token for successfully reducing the carbon footprint that their node produces.

The issuance of So|bond was accomplished through a partnership with the IT services provider Finaxys. The platform will assess the ecological footprint using the approach suggested by APL Data Center, and SGS will put that methodology into practice.

To my knowledge, so|bond is the very first blockchain to implement the Proof of Climate awaReness protocol.

Managing Director of Innovation and Digital Transformation at Crédit, Romaric Rollet

Agricole CIB has shared his enthusiasm for the recently released platform. According to him, this is consistent with the objectives of the company’s Social Programme, which are to provide environmentally friendly and sustainable finance.


Both SEB and Crédit Agricole CIB Have Joined the Long List of Banks Investigating Blockchain Bonds.

In the meantime, it is worth mentioning that this alliance is the most recent in a lengthy line of others that are comparable that have occurred in recent times. This is due to the fact that leading financial institutions are increasingly adopting the practice of issuing blockchain-based corporate bonds.

Both Goldman Sachs and HSBC have just recently created systems for the issue of bonds and the trading of digital assets. And with that, they joined the ranks of other financial institutions, such as Societe Generale, Santander, and ABN Amro, which are already leaders in this field.

In a similar manner, the Swiss financial institution UBS has introduced what has been referred to be the largest digital bond.

As a result, SEB is placing a significant amount of emphasis on the launch. Anna Sjulander, the head of SSA DCM at SEB, stated that the financial institution is prepared to make the most of the opportunity to learn about quick, transparent, and uncomplicated transactions.

Also, she stated:

It will make it possible for us to get insights into what the creative space of virtual currencies entails for the business of financial services.

In addition, the two banks guarantee that there are plans to make it possible for the platform to support central bank digital currencies in the not too distant future.

They believe that this will eventually enable them to transact in asset classes other than bonds, which will ultimately extend their business opportunities.

Comments are closed, but trackbacks and pingbacks are open.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More