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China’s SFIH Makes History with $700 Million Blockchain Bond on Traditional Exchange
Shenzhen Futian Investment Holdings has broken new ground in digital finance by issuing the world’s first publicly listed RWA-based digital bond on Ethereum, successfully raising $700 million in Hong Kong markets.
Groundbreaking Public Listing
The landmark transaction, completed on August 29, represents a historic moment as tokenized securities based on public blockchain technology gained approval for trading on traditional exchanges for the first time. This marks a significant departure from Hong Kong’s typical private placement approach for tokenized bonds.
The digital bond, trading under ticker FTID001, carries a competitive 2.62% coupon rate with a two-year maturity period. Fitch Ratings awarded the instrument an impressive A- credit rating, providing institutional investors with confidence in the security’s quality.
Strategic Market Move
SFIH, a Shenzhen-based state-owned enterprise, capitalized on growing global demand for Real World Asset (RWA) instruments following their successful overseas bond debut in October 2024. The company strategically positioned this issuance to diversify international funding channels while optimizing their capital structure.
Hong Kong’s Digital Finance Ambitions
The transaction reinforces Hong Kong’s commitment to becoming a premier digital finance hub. GF Securities Hong Kong led the underwriting syndicate, with participation from major financial institutions including CMB International, CICC, Minsheng Capital, and several other prominent regional players.
Industry Impact and Future Outlook
Financial analysts view this development as potentially transformative for Chinese financial innovation. The successful execution by a state-owned enterprise could encourage other Chinese firms to explore blockchain-based fundraising methods.
Tokenization offers compelling advantages including enhanced transparency, reduced settlement times, and improved global market access compared to traditional debt instruments. This aligns with broader industry trends, as evidenced by BlackRock’s tokenized Treasury fund BUIDL and similar initiatives worldwide.
The successful completion suggests tokenized bonds may transition from niche experiments to mainstream financing tools in the evolving digital asset landscape.
