Societe Generale issues the first product structured as a security token in Tezos
Societe Generale, a French financial services giant, has issued the first product structured as a security token on the public blockchain platform of Tezos. The product is launched through Societe Generale FORGE, a regulated subsidiary of Societe Generale Group.
According to a ad held on Thursday April 15, these securities are fully subscribed by Societe Generale Assurances. This security token is not the first Societe Generale product on a public blockchain. This group of financial services has been involved for several years in numerous initiatives based on blockchain and distributed ledger technologies, creating disruptive business models to better serve their clients.
As reported by Crypto Economy, in April 2019, Societe Generale Group through its subsidiary Societe Generale FORGE issued bonds worth $ 112 for himself on the Ethereum blockchain network. The tokens were issued as security tokens on the Ethereum public blockchain network. Then, in May 2020, the group issued a second bond security product worth € 40 million as a security token settled in the central bank digital currency (CBDC) issued by Banque de France, the central bank of France.
This is the third security product issued as a security token by the Group's subsidiary, Societe Generale FORGE, but this time on the Tezos blockchain. The transactions are being carried out by FORGE, which is working to offer clients structuring, issuance, exchange and custody services for crypto assets for the next year.
The ad says:
“This new experimentation, carried out in accordance with the best market practices, demonstrates the legal, regulatory and operational feasibility of issuing more complex financial instruments (structured products) on a public blockchain. Take advantage of this disruptive technology that allows greater efficiency and fluidity in financial transactions: unprecedented capacity for product structuring, shorter time to market, automated corporate actions, greater transparency and speed in transactions and settlements, as well as cost and quantity reduction of intermediaries. "
Societe Generale FORGE offers issuers and investors innovative services to issue and manage digital native financial products registered on the blockchain. According to the company, FORGE's services are based on legal, operational and technical frameworks, designed to ensure full legal and regulatory compliance from day one, and enable simple integration within legacy systems such as widely used SWIFT.
The relationship between Tezos and FORGE is not new either. In September 2020, FORGE selected the Tezos blockchain for central bank digital currency (CBDC) experiments. This CBDC was issued by the Banque de France which selected Societe Generale FORGE to experiment with the use of CBDC for interbank settlements.
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