When banks use cryptos. From the end of 2022, the subsidiary SG-FORGE of the Societe Generale made a name for itself by becoming one of the first banking subsidiaries to validate a registration as PSAN (Digital asset service provider). But, even much rarer (still uniqueeven, until now), SG-FORGE has achieved the feat of obtain a PSAN approval of the Financial Markets Authority (AMF). Today, the subsidiary of the major French bank continues its advances in the crypto-asset sector, by issuing its first green bonds on the blockchain network ofEthereum (ETH).
Tokenized green bonds that benefit from crypto technologies
This December 4, 2023, the Societe Generale etits subsidiary focused on cryptos, SG-FORGEannounced via a press release that they were issuing a “ Security Token » of their first tokenized green bond.
These tokens have been registered on the public blockchain ofEthereumthe essential platform for smart contracts and the tokenization within the small crypto world. As recalled in the press release from the major French bank, these bonds issued directly on blockchain benefit from all the advantages of the distributed ledger technology (DLT):
“Transparency and traceability, but also the fluidity and speed of transactions and their settlements [via réseau blockchain]. »
Extract from the press release from Société Générale and SG-FORGE
Société Générale and SG-FORGE intend to fully exploit tokenization
THE Security Tokens of these bonds were more precisely issued on the ETH network on November 30 2023. And they have all been “fully subscribed by two institutional investors” according to the press release. In this case, these are AXA Investment Managers And Generali Investments who scooped up all these tokenized bonds.
For a total amount of 10 million euros (with a maturity of 3 years), these funds raised will be used exclusively for “finance or refinance eligible green activities” as defined by Société Générale.
The big bank and SG-FORGE even talk about crypto networks as a new “data repository and certification tool”. And the bankers have some ideas, since these tokenized bonds can be a case of application of their house stablecoin of the euro.
Indeed, in April 2023, SG-FORGE announced the launch of the stablecoin the euro CoinVertible, or EURCV. With these green bonds digitized on blockchain, investors will be able (if they wish, as it is optional) to settle the securities directly on-chain via the stablecoin EURCV. Société Générale and its subsidiary also specify in passing that they will of course continue to develop these “innovative services” related to the crypto-asset sector.