Canada has completed a pilot program exploring how distributed ledger technology could improve efficiency in bond markets. The initiative, known as Project Samara, involved the Bank of Canada along with major financial institutions including Export Development Canada, Royal Bank of Canada and TD Bank Group.
As part of the experiment, Export Development Canada issued a 100 million Canadian dollar bond, equivalent to about $73.6 million, with a maturity of less than three months.
The bond was issued, traded and settled on a distributed ledger platform in a controlled environment involving a closed group of investors.
Payments associated with the bond were processed using wholesale central bank deposits instead of commercial bank money. The project aimed to test whether blockchain-based infrastructure could streamline processes such as bond issuance, trading and settlement while reducing operational complexity.
The successful pilot highlights growing interest among central banks and financial institutions in tokenized financial instruments.
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