Boerse Stuttgart Digital, an infrastructure provider for cryptocurrencies and digital assets in Europe, now provides the technical infrastructure for KfW, for its new blockchain-based digital bond.
Boerse Stuttgart Digital manages wallets and secures private keys throughout the issuance and redemption processes of the crypto security planned by KfW in the coming weeks in accordance with the German Electronic Securities Act (eWpG).
Gaetano Panno, head of transaction management at KfW, said, “As one of the world’s largest and most active bond issuers, we are actively driving digitisation initiatives in the issuing and settlement process. The utilisation of new technologies as part of the ECB trials enables us to technically process a ‘delivery vs. payment’ transaction and thus supports our digital learning journey.”
Ulli Spankowski, managing director of Boerse Stuttgart Digital, said, “The expansion of our offering for institutional clients and our involvement in KfW’s next blockchain-based digital bond mark a milestone in the digital transformation of the financial sector.”
At the end of June, the Boerse Stuttgart Group announced that it had successfully applied as a stock exchange operator in Europe for the second wave of the European Central Bank’s (ECB) EU-wide tests for the settlement of blockchain-based financial transactions against central bank money, in which it also provides wallets and ensures the security of private keys. Through the KfW transaction, Boerse Stuttgart Digital, with its new service, is also participating in a use case with central bank money payment, the so-called “trials”.
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