Societe Generale Executes First Blockchain-Based Repo Deal with French Central Bank
Crypto/Finance

Societe Generale Executes First Blockchain-Based Repo Deal with French Central Bank

Societe Generale claims the title of the first bank to execute an on-chain repo transaction involving a euro-zone central bank.

Key Points

  • Societe Generale's SG-Forge subsidiary has completed a repo transaction with the Banque de France.
  • SG-Forge used bonds issued in 2020 on the Ethereum blockchain as collateral to receive central bank digital currency (CBDC) from the Banque de France on its DL3S blockchain.

Societe Generale has announced that it executed a blockchain-based repurchase agreement with the Banque de France, making it the first bank to conduct such a tokenized transaction with a Eurozone central bank. The report states that SG-Forge deposited bonds from 2020 on the Ethereum blockchain as collateral, receiving CBDC in return.

The lender highlighted the technical feasibility of using blockchain for interbank refinancing operations, suggesting that CBDCs have the potential to enhance the liquidity of digital financial securities.

Next article

Polygon DAO Explores Stablecoin Deployment Worth $1.3B for Annual Yield Generation

Newsletter

Get the most talked about stories directly in your inbox

Every week we share the most relevant news in tech, culture, and entertainment. Join our community.

Your privacy is important to us. We promise not to send you spam!