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  • Writer's pictureJamal Saafir

Bank of China’s First Tokenized Security on Ethereum

Updated: Jun 25, 2023


According to UBS on June 12th, 2023, BOCI has successfully issued CNH 200 million ($28 million) fully digital structured notes, making it the first Chinese financial institution to issue a tokenized security in Hong Kong. This makes the Bank of China the first Chinese financial institution to provide a tokenized security in the country of Hong Kong. The digital notes were developed by UBS and provided to its Asia Pacific clients, which marks a long-term cooperation between BOCI and UBS in the area of digital structured notes.


In December 2022, UBS issued a $50 million fixed rate digitized note under English and Swiss law on a permissioned blockchain. BOCI and UBS’ issuing of digital securities signifies the progression of law and blockchain. As stated by UBS, “this transaction marks the first product of its kind in Asia Pacific constituted under Hong Kong and Swiss law and tokenized on the main Ethereum blockchain, successfully introducing regulated securities onto a public blockchain.”

BOCI holds the accolade of being the first Chinese financial establishment issuing structured notes overseas. “At present, BOCI is a leading Chinese issuer with a full range of products, large volume of issuance and complete services to its clients.”

Deputy CEO at BOCI, Ms. Ying Wang, stated


“BOCI is very pleased to be at the forefront of innovation in technology finance and digital finance,” ”Working together with UBS, we are driving the simplification of digital asset markets and products, for customers in Asia Pacific through the development of blockchain-based digital structured products, designed specifically for customers in Asia Pacific. We are encouraged by the evolution of Hong Kong's digital economy and are committed to promoting the digital transformation and innovative development of Hong Kong's financial industry.”

UBS’ tokenization services continue to expand through UBS Tokenize, across market-linked investments, fixed income, and repurchase agreements.


“We are pleased to work with BOCI on this transaction to bring structured products onto a public blockchain network, supporting our APAC clients’ increasing interest in fully regulated digital asset products.” said Aurelian Troendle, Global Head of MTN Trading at UBS AG. “High-frequency issuance activity can benefit from vast efficiency gains through the use of blockchain technology, which will ultimately bring advantages to investors. UBS is excited to work with issuers like BOCI to broaden our client offering through our tokenization capabilities. “


As reported by Coindesk, Citigroup and Bank of America predict that the tokenization of real-world assets (RWA) – such as notes and bonds – can fuel crypto adoption and bring trillions of dollars of worth to blockchains.



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