SG innovates with second blockchain covered bond

Société Générale SFH has issued a second Obligations de Financement de l’Habitat (OFH) deal as a security token using a protocol that can be fully integrated with other blockchains and, for the first time, was settled using the Banque de France’s newly developed digital currency and structured with industry-aligned smart contracts.

The non-listed covered bond was issued and bought by SG on May 14 and, instead of using the customary cash settlement, the deal was settled using the Banque de France’s private blockchain which had been developed internally.

A spokesperson at the BdF, which is leading the