DBS, Singapore’s largest financial institution by property, is increasing its digital asset choices with the launch of tokenized structured notes on the Ethereum blockchain.
DBS announced on Thursday that the financial institution is opening the door to historically high-barrier monetary merchandise in smaller denominations by tokenization.
Structured notes are a sort of debt safety offered by monetary establishments like banks. DBS mentioned these sometimes require a minimal funding of $100,000 and are tailor-made to particular person shoppers, making them complicated and illiquid.
By issuing them in $1,000 denominations, DBS mentioned the merchandise will turn out to be extra versatile, tradable and simpler for buyers to handle in portfolios.
DBS shoppers executed over $1 billion in trades in 2025
DBS launched its crypto-linked structured notes on Sept. 17, 2024, together with crypto choices buying and selling. The financial institution mentioned demand has been robust, with shoppers executing greater than $1 billion in trades within the first half of 2025, up practically 60% from the primary to the second quarter.
Initially, DBS mentioned it is going to tokenize cash-settled crypto-linked participation notes for distribution. The observe constructions will present buyers with a money payout when crypto costs rise.
This permits them to construct publicity to the asset class with out managing any crypto instantly. DBS mentioned it’s additionally structured to mitigate potential losses when crypto costs decline.
DBS added that past its crypto-linked notes, it is going to additionally tokenize its widespread structured notes, like equity-linked notes and credit-linked notes.
Li Zhen, head of overseas change and digital property for world monetary markets at DBS, mentioned the financial institution has been working on tokenization initiatives since 2021. He mentioned the launch of crypto-linked notes goals to satisfy rising institutional demand for digital property.
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DBS presents structured notes to eligible buyers
Based on the announcement, the tokenized structured notes will solely be supplied solely to accredited and institutional buyers. DBS mentioned these might be distributed by Singapore-licensed digital funding platforms ADDX, DigiFT and HydraX.
Whereas the financial institution mentioned the tokenized structured notes might be on the Ethereum blockchain, it didn’t present any particulars on why the community was chosen or how the tokens might be issued.
Cointelegraph reached out to DBS for extra info, however had not obtained a response earlier than publication.
The tokenized structured notes construct on DBS’s broader blockchain and digital property push.
In October 2024, the financial institution launched blockchain-based banking for establishments, permitting real-time blockchain fee settlements utilizing sensible contracts. In November, the financial institution collaborated with Paxos’ Singapore arm to launch a USD-backed stablecoin.
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