KB Kookmin Bank "First Korean Bank to Issue Blockchain-Based Digital Bond"

Successful Issuance of 100 Million USD Digital Bond
with HSBC as Sole Lead Manager for Two-Year Maturity

On June 10, KB Kookmin Bank announced that it has become the first bank in Korea to successfully issue a blockchain-based US dollar digital bond.

Lee Sangho, Head of HSBC Securities Seoul Branch (right), and Lee Sunghui, Vice President of Capital Markets Business Group at KB Kookmin Bank (left), are posing for a commemorative photo.

The bond was issued with HSBC as the sole lead manager, with a two-year maturity and a total size of 100 million US dollars. Digital bonds use blockchain technology to handle the entire bond process, including issuance, registration, trading, and settlement. Compared to traditional bonds, this reduces settlement times and increases operational efficiency.

This digital bond was issued through HSBC Orion, a digital asset platform, and is linked to the clearing and settlement system operated by the Central Moneymarkets Unit (CMU) under the Hong Kong Monetary Authority (HKMA). By utilizing the 'Digital Bond Grant Scheme' operated by the HKMA to promote the development of the digital bond market, KB Kookmin Bank expects to reduce issuance costs.

This issuance is part of KB Financial Group's 'Transition and Expansion' strategy. The goal is to proactively respond to changes in the digital financial environment and to strengthen the group's capabilities in building future financial infrastructure.

Recently, KB Kookmin Bank completed a proof of concept for payment and remittance technology based on a Korean won stablecoin, and is expanding its financial services using digital assets and blockchain technology. The issuance of this digital bond is also in line with its ongoing digital finance transformation strategy.

In particular, through this issuance, KB Kookmin Bank expects to accumulate experience in blockchain-based fundraising and to confirm the potential for expanding its global investor base.

A representative from KB Kookmin Bank stated, "This digital bond issuance is a meaningful case of applying blockchain technology, which is attracting attention as future financial infrastructure, to actual fundraising. We will continue to provide customers with safer and more convenient financial services through digital financial innovation."

This content was produced with the assistance of AI translation services.