Homburger Advises BKB in CHF 105m Digital Bonds Issuance

The canton of Basel-City has embraced the future of finance by issuing CHF 105 million in digital bonds. At the forefront of this pioneering initiative, Basler Kantonalbank (BKB) took the helm as lead manager, orchestrating a smooth entry into the digital bond market.

These state-of-the-art digital bonds are set to make waves on the SDX Trading platform, marking an important milestone in the evolution of the financial landscape. The SDX infrastructure, based on distributed ledger technology (DLT), powers the issuance and trading of tokenised securities, promising a more efficient and transparent financial ecosystem.

As part of the pilot project, the Swiss National Bank is making history by introducing digital central bank money to financial institutions via this infrastructure, introducing the concept of wholesale Central Bank Digital Currency (wCBDC). This pioneering step marks one of the world’s first pilot projects, ushering in a new era for processing real transactions in digital central bank money.

Homburger acted as counsel to Basler Kantonalbank. The team consisted of partner Benedikt Maurenbrecher (pictured left) and counsel Eduard De Zordi (pictured right, both capital markets).