Swiss bank UBS has launched what it claims is the first investment-grade tokenised warrant issued in Hong Kong.
The product, a call warrant with Chinese tech vendor Xiaomi as the underlying stock, was developed using UBS’s in-house platform UBS Tokenise.
It was then listed on the public Ethereum blockchain and sold to OSL Digital Securities, a licensed virtual asset platform operator based in Hong Kong.
According to Winni Cheuk, head of sales, Apac public distribution, UBS Global Markets, the tokenised warrant “enhances transparency, reduces transaction fees, streamlines settlement processes and allows for more flexible trading hours”.
It is not the first time UBS has chosen to debut its tokenisation efforts in the Asia Pacific market. In 2022, the bank used its UBS Tokenize platform to issue its first tokenised fixed rate note sold to Asia Pacific clients.
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