Issuing digital securities on Ethereum
Société Générale (Sogen), a major French bank, announced on the 4th that it has issued digital securities (security tokens) on the blockchain of the crypto asset (virtual currency) Ethereum (ETH). The initiative aims to increase the transparency of environmental, social and governance (ESG)-related data.
The new digital security, dubbed the Sustainable & Positive Impact Bond, raised 10 million euros (approximately 1.6 billion yen) in late November as a senior unsecured bond with a three-year maturity. The issue was fully underwritten by AXA Investment Managers and Generali Investments and executed in a private placement.
The smart contract of this bond (Sustainable & Positive Impact Bond) includes carbon footprint information and is publicly accessible. This allows issuers and investors to track and verify the carbon emissions associated with their bonds in real time.
This bond aims to finance activities that have a positive impact on the environment and is also known as a “digital green bond.” Since 2015, Société Générale Group has continuously issued “Positive Impact Bonds” aimed at investing in sustainable projects.
The issuance and operation of this bond will leverage the technological capabilities of Société Générale’s subsidiary SG-FORGE, using blockchain as a data repository and authentication tool. SG-FORGE is registered with French regulators as a digital asset custodian and digital asset service provider.
In April of this year, SG-FORGE announced plans for a euro-linked stablecoin called “EUR CoinVertible” on the Ethereum blockchain.
connection:Societe Generale subsidiary to issue euro-denominated stablecoin
Sogen’s blockchain strategy
SG-FORGE previously published the first full lifecycle carbon footprint report on Security Tokens, a methodology for calculating the carbon footprint of financial instruments in the form of tokens on Ethereum’s public blockchain infrastructure. was presenting.
SG-FORGE previously published the first carbon footprint report on Security Tokens, presenting a method for calculating the carbon footprint of financial products on Ethereum’s public blockchain infrastructure.
At that time, he pointed out that the reason for choosing Ethereum was that the network had “achieved relatively low greenhouse gas emissions” through the Proof of Stake migration “merge” that took place in September last year. Ta.
Additionally, in Japan, Daiwa Securities Group Inc. recently announced a proof of concept (POC) for the issuance of security tokens (ST) and platform development on the Ethereum blockchain. This POC will be implemented after January 2024 and will be conducted in collaboration with Daiwa Securities, Fint Daiwa Securities, Fintertech, and Ginco. The main focus is on how to protect customer assets in the event of a hack.
connection:Daiwa Securities and Ginco collaborate to issue digital securities (ST) on Ethereum