Key facts:
In this transaction pilot, the Spanish group has acted as an investor and as an issuer.The executive John Whelan said that they have more evidence of the efficiency of a blockchain.Banco Santander paid a bonus of $ 20 million issued in September, using the network of Ethereum, in a process that involved money trust that was contributed by one of the subsidiaries of the group. The operation reported this Tuesday, December 10, generated USD 99.000 interest quarterly.In this regard, the investment director of digital at Santander, John Whelan, wrote on Twitter that with the transaction it is shown that a “guarantee of debt can be managed through its entire life cycle in a blockchain (public in this case)”. The executive used a link to Etherscan to show the operation in which you can see the quarterly profit. In this transaction pilot, Santander acted as investor and as issuer.At the time that Santander issued the bond in September of this year, used a token of Ethereum, another company of the group bought a series of tokens ERC-20, which represented the cash used to complete the investment, and that it was kept in an escrow account. The bonus was purchased by another company of the Spanish group, and for this purpose she used coupons quarterly at a rate of 1,98%, which is also tokenizaron, which allows the automation during the whole year until maturity. Santander Corporate and Investment Banking (CIB), the global division of the bank that gives service to corporate and institutional clients, and led the broadcast.When Santander announced the news three months ago, noted that it had become the first institution to use a blockchain public to manage all aspects of the issuance of the bonds. However, this is not a new concept. The bond-i of the World Bank, administered by the Commonwealth Bank of Australia, has raised a total of USD 108 million to date. On the other hand, the Spanish bank BBVA has different types of loans using a chain of blocks.Other financial institution that has completed the issuance of bonds using a chain of blocks is the Bank of China (BoC), which recently finalized with a bond that had a value of 20 billion yuan (us $ 2.8 billion) through a patented system based on a blockchain. The bank will use the proceeds to provide financing to small and micro-enterprises. The system developed by BoC includes functions such as creation and purchase of bonds, accounting, underwriting, network management, summary of orders, pricing, and placement.Earlier this year, Breaking News reported that the French company of financial services Societe Generale issued the first bond created as a token regulated on the chain blocks of Ethereum. The bond was issued via Societe Generale SFH, a company associated with the corporation. The subsidiary that issued this token, regulated, of EUR 100 million, which is equivalent to about USD 112 million.