DBS Financial institution is tokenising structured notes on the Ethereum public blockchain, making them out there to eligible buyers by third-party platforms ADDX, DigiFT and HydraX.
This marks the financial institution’s first distribution of tokenised merchandise to non-DBS purchasers.
The initiative comes as Singapore strengthens its place as a wealth administration hub.
The variety of single household places of work within the city-state exceeded 2,000 in 2024, a 43 p.c improve from the yr earlier than.
Structured notes normally require a minimal funding of US$100,000, however tokenisation breaks them into US$1,000 models which can be an identical and simpler to commerce.
DBS stated this format improves fungibility and permits buyers to handle portfolios with higher flexibility and resilience throughout market volatility.
The primary product will probably be cash-settled cryptocurrency-linked participation notes.
These present money payouts when cryptocurrency costs rise and are structured to cut back potential losses if costs fall.
Demand for such devices has been robust, with DBS purchasers executing greater than US$1 billion price of trades within the first half of 2025, and volumes rising practically 60 p.c between the primary and second quarters.
Past cryptocurrency-linked notes, DBS additionally plans to tokenise equity-linked and credit-linked notes.
Li Zhen, Head of International Trade and Digital Belongings, World Monetary Markets, DBS, stated,
“Asset tokenisation is the following frontier of economic markets infrastructure. Since 2021, DBS has been energetic in scaling this ecosystem by fostering accountable innovation, enabling tokenisation to satisfy actual market demand and make monetary markets extra environment friendly and accessible.
By leveraging DBS’ robust credit score scores, partnerships and capabilities, extra buyers can now faucet our options to raised handle their portfolios. Our first tokenised product, a crypto-linked be aware, additionally addresses the rising institutional urge for food for digital belongings. With this initiative, a broader phase of buyers can now faucet our digital asset ecosystem to construct publicity to the asset class.”
Featured picture: Edited by Fintech Information Singapore, primarily based on picture by masaideeabdulkoday70 by way of Freepik
