Toyota Finance Opens Second Security Token Bond to Retail Investors

Tokyo-based Toyota Finance has launched its second security token bond, worth ¥1 billion ($6.8 million), allowing retail investors to purchase through their phones without needing a securities account.

The new bond is listed on the ibet for Fin blockchain platform built by BOOSTRY, a joint venture backed by Japan's largest financial institutions.

The second bond has a fixed coupon rate of 1.72% and matures on October 27, 2027. It follows the first issuance in February-March 2025, which was listed on the Progmat tokenization platform from Mitsubishi UFJ Financial Group.

Tokyo Finance's non-transferable bonds eliminate secondary trading, reducing liquidity and regulatory complexity. The proceeds fund vehicle purchase installment credits, making the risk profile relatively conventional.