Brazil's Banco do Brasil Invests $5 Million in Digitally-Native Structured Note
Brazil's state-owned bank Banco do Brasil (BB) has invested in a digitally-native structured note issued by Citigroup Global Markets Funding Luxembourg S.C.A. The investment is worth $5 million, making it the first of its kind in Latin America.
The note was issued on the D-FMI platform operated by Euroclear and facilitated by Citi Issuer Services through Citibank N.A.'s London branch. BB participated in the deal on August 19.
BB's investment is part of its strategy to evaluate new technologies and infrastructure models that can modernize financial systems and develop new products and services for institutional investors.
The digitally-native structured note is issued, registered, and managed on a blockchain-based infrastructure. This allows for greater collaboration and transparency between participants, as well as improved efficiency in payment and settlement processes.