Czech National Bank trials distributed ledger technology bond issuance

According to Ledger Insights, the Czech National Bank (CNB) has completed the testing of digital bond issuance.

The platform used for this test is the Czech Central Securities Depository CSD Prague, which happens to be the first infrastructure to obtain a pilot license for distributed ledger technology (DLT) from the European Union.

The local commercial bank Česká spořitelna acted as the counterparty. The bond issuance amount was only 10,000 Czech korunas (approximately 453 USD). The test was conducted through the CNB Lab and included purchasing, selling, interest payments, and repurchase transactions.