In Abu Dhabi, on July 3, 2024, the Abu Dhabi Securities Exchange (ADX) initiated the pricing stage for the Middle East and North Africa's (MENA) first digital bond based on distributed ledger technology (DLT). This bond, issued by First Abu Dhabi Bank (FAB) and facilitated by HSBC's digital assets platform, HSBC Orion, is a significant step in regional financial innovation. (Source: Khaleej Times, Gulf Business, Gulf Today)
The digital bond will be available to global institutional investors through major securities settlement systems, including Euroclear, Clearstream, and Hong Kong's CMU. This aims to enhance operational efficiencies and reduce counterparty risk. The tokenized RWA market is projected to grow to trillions of dollars in the coming years. (Source: Khaleej Times, Gulf Business, Gulf Today)
This initiative aligns with Abu Dhabi's strategy to lead in the tokenization of real-world assets (RWA). This collaboration between ADX, FAB, and HSBC signifies a pivotal step in integrating blockchain technology into the region's financial markets. It paves the way for future innovations in digital asset issuance and management. (Source: Khaleej Times, Gulf Business, Gulf Today)