German multinational conglomerate Siemens AG has become the latest industrial giant to digitize bonds with the help of blockchain.
Subscribe to our Telegram channel to get daily short digests about events that shape the crypto world
The Munich-based company said in a press release on Tuesday it created the bond on a "public blockchain" in accordance with Germany’s Electronic Securities Act.
Peter Rathgeb, Corporate Treasurer at Siemens AG, said that blockchain helps the company execute transactions "significantly faster and more efficiently than when issuing bonds in the past." Siemens didn't specify in the report which blockchain was used for issuing bonds. The report says the securities were directly sold to investors without engaging established central securities depositories.
The bond was registered by Hauck Aufhäuser Lampe Privatbank AG, while investments were made by DekaBank, DZ Bank, and Union Investment. According to Siemens, the bond's maturity will be one year out and already has a volume of €60 million.
Access more than 50 of the world's financial markets directly from your EXANTE account – including NASDAQ, London Stock Exchange and Tokyo Stock Exchange