The Asian Infrastructure Investment Bank has issued $300 million in digital bonds for the first time

ChainCatcher news, the Asian Infrastructure Investment Bank (AIIB) has successfully issued its first digital bond, raising $300 million. The bond is rated AAA, with an annual interest rate of 4%, and will mature in January 2027. This issuance was assisted by Citigroup and BMO Capital Markets, marking the first time an Asian institution has issued a digital bond on Euroclear's distributed ledger platform.

Notably, this is also the first issuance of a dollar-denominated digital bond on this platform. Citigroup will play a key role in the bond issuance and the payment settlement between investors and the issuer. The bank will also act as the issuance and payment agent. This digital bond issuance marks an important step in the application of blockchain technology in the financial sector. Although digital bonds currently remain a small part of the fixed income market, they are gaining increasing attention, with institutions such as the World Bank and the European Investment Bank also participating.