The World Bank will Launch the World's First Blockchain Bonds
The World Bank issued an order for the Australian Commonwealth Bank to launch the world's first blockchain bonds. The project will use a private blockchain system based on Ethereum. The bond will be the first in the world, which was created through distributed ledger technology. All transaction data will be stored on the network.
Note that the issue of bonds and their distribution will also be carried out by means of blockchain technology. The control will be carried out both by experts of the World Bank, and by employees of the Australian Commonwealth Bank.
Representatives of the World Bank noted that, to date, there is a situation that the demand for a new bond from investors is very large. At the same time, the proposed technology still causes controversy in the crypto community. Most often, there are issues related to the speed of transactions and data security.
Representative of the World Bank Denis Robitale, commented on the news as follows:
"This pioneering bond is a milestone in our efforts to learn how we can advise our client countries on the opportunities and risk that disruptive technologies offer as we strive to achieve the Sustainable Development Goals."
Recall that to date, several large financial institutions such as JP Morgan, BBVA and the Agricultural Bank of China have tested systems based on the blockchain, focused on the issue of loans and bonds.