World Securities Regulatory Body Explores the Use of Blockchain

Asia Blockchain Review
December 27, 2019

In its recently published consultation report, “Conflicts of interest and associated conduct risks during the debt capital raising process,” the International Organization of Securities Commissions (IOSCO) raises the questions of what are the benefits and risks of blockchain in debt capital raising and how the technology could address conflicts. 

Aside from the consultation report, a series of papers on the application of blockchain to securities markets will be produced.

Blockchain Recognized as Important Technology in Fintech

Recognized for setting the global standard for the securities sector, IOSCO is an international body that brings together securities regulators across the world. Members include the U.S. Securities and Exchange Commission, the Australian Securities and Investments Commission, and the Securities and Exchange Board of India.

The consultation report is seeking views on blockchain-related hypotheses, such as that blockchain might help create a fair allocation of debt securities by issuers and that the technology could eliminate intermediaries by replacing some aspects of debt issuance.

IOSCO created the distributed ledger technology (DLT) workstream to create papers on the application of blockchain to securities markets. One of the published papers is about the issuance of bond-i, the World Bank’s blockchain bond.

Blockchain Bond Rises Around the World

Several bond issuances have claimed to use blockchain to reduce cost and time. Last week, the Bank of China issued blockchain-based bonds worth US$2.8 billion in total to small businesses.

In Spain, commercial bank and financial services firm Banco Santander issued a tokenized US$20 million bond, while BBVA, the country’s second-largest bank, used blockchain to arrange bonds and loans. 

Meanwhile, Singapore and Thailand are developing blockchain-based platforms for bond issuance.

Source: www.ledgerinsights.com


About Asia Blockchain Review

Asia Blockchain Review is the largest initiative for media and community building in Asia for blockchain technology. It aims to connect all blockchain enthusiasts on a regional scale and facilitate the technological foundation of blockchain through a range of group discussions, technical workshops, conferences, and consulting programs.

Our goal is to cultivate and encourage a collaborative community for our members to gather, share their experiences and endeavors in the blockchain space, and brainstorm the potential uses of blockchain technology.

Follow Asia Blockchain Review on:

    Related Article
    How Blockchain has Helped the Business of E-commerce
    Blockchain technology is poised to revolutionize the e-commerce business industry. It offers an unpa...

    January 23, 2020

    Securing SEA’s Financial Networks with Blockchain
    As cryptocurrencies gain wider use among Southeast Asians, so too must blockchain solutions be devel...

    December 30, 2019

    Thailand: The Land of Blockchain
    As the country forges ahead on its Thailand 4.0 development agenda, firm government commitment and s...

    December 27, 2019

    Blockchain for Safer, more Afforable Telecommunications in SEA
    This article examines the use of telecom services in Southeast Asia, the industry’s unresolved probl...

    December 16, 2019

    We provide information about Asia Blockchain Review latest activities as well as global blockchain news and research. Subscribe to our Newsletter now or Contact us