UBS Launches World’s First Native Digital Bond with Intended Dual Listing and Trading on SIX Digital Exchange and SIX Swiss Exchange

UBS today launched a 3-year CHF senior unsecured bond with a total issue volume of CHF 375 million and a maturity in 2025. This bond was issued on the Distributed Ledger Technology (DLT) based Central Securities Depository of SIX Digital Exchange and is the first of its kind that can also be held conventionally at SIX SIS.

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Due to a single international securities identification number (ISIN) for the digital bond (“single-ISIN solution”) , the handling of digital bonds is greatly simplified as there is no longer a need for a “twin bond” in the traditional world. This leads to the greatest possible market reach for native digital bond issuances. The connection of the digital financial market infrastructure with the traditional financial market infrastructure facilitates the transition phase for market participants into the new world of digital assets.

David Newns, Head SIX Digital Exchange: “The first example of an issuance of the dual-listed bond illustrates both the increasing attractiveness of issuing digital securities on SIX Digital Exchange as well as representing a significant step forward in the evolution of the SDX platform. The dual-listed, natively digital bond, developed in close cooperation with SIX Swiss Exchange and SIX SIS simplifies the digital bond issuance process on SDX whilst simultaneously maximizing market reach through the connectivity between SDX’s blockchain based platform and SIX’s traditional infrastructure. The dual-listed digital bond in effect establishes a migration path for the market to move from issuing traditional securities to issuing natively digital securities on fully regulated blockchain based financial markets infrastructure.”

For more details, please head to the UBS media release.

About SDX

SDX is licensed by Switzerland’s financial market regulator, FINMA, to operate an Exchange and a Central Securities Depository (CSD). SDX offers issuance, listing, trading, settlement, servicing, and custody of digital securities. SDX is committed to working with partners, members, and clients to promote and build out a new market structure for digital assets globally.

About SIX

SIX operates and develops infrastructure services for the Swiss and Spanish Stock Exchanges, for Post-Trade Services, Banking Services and Financial Information with the aim of raising efficiency, quality and innovative capacity across the entire value chain of the Swiss and Spanish financial centers. The company is owned by its users (120 banks). With a workforce of 3,685 employees and a presence in 20 countries, it generated operating income of CHF 1.5 billion and Group net profit of CHF 73.5 million in 2021.

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Marco Kessler joined SDX in October 2018 and has been a key member of the team since its beginning. Marco brings 14 years of experience in capital markets and digital transformation to SDX.
Björn Flückiger joined SDX as Head Legal in February 2024. Björn brings over a decade of legal expertise in financial market law and fintech regulation, both in the public as well as the private sector. Amongst others, Björn was an integral part in the setup and operationalization of FINMA’s Fintech unit.