Vontobel now offers a structured product on the blockchain. The product in question is a tracker certificate based on a research basket, and is held on the blockchain by means of a smart contract. The bank is reportedly the first issuer worldwide to offer a structured product in the form of an asset token in this way.
With this milestone, Vontobel is responding to the market need to make traditional financial products available on the blockchain, writes a statement. The news comes following the 2016 launch of Vontobel’s first tracker certificate on Bitcoin, which was initially followed by the option of storing digital assets in the Digital Asset Vault.
"The mapping of structured products to so-called Smart Contracts is a logical further development that rounds off our range of digital assets,” commented Roger Studer, Head of Vontobel Investment Banking, in the statement. “By distributing financial products on the blockchain, we are able to offer a cycle of services based on this technology and at the same time open up new distribution channels and trading platforms."