Standard Chartered Bank launches digital platform Libeara to assist tokenization of Singaporean bond funds.

The Block reported that SC Ventures, a subsidiary of Standard Chartered Bank, has launched a tokenization platform called Libeara. The platform aims to enable fund managers, governments, and issuers to tokenize real-world assets known as RWAs or issue regulated security tokens. It is reported that the platform will initially focus on tokenizing a Singapore government bond fund.

SC Ventures Launches Tokenization Platform Libeara

SC Ventures, the investment and innovation arm of Standard Chartered Bank, has launched a tokenization platform named Libeara to help institutions digitize their financial instruments, reducing trading costs while increasing transparency and operational efficiency.

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SC Ventures announced on the 14th that Libeara has been incubated as an independent company in Singapore, with a team that has previously been involved in prototype development for digital platforms used by the Hong Kong government, Ghana, and the Philippines.

It is understood that Libeara will collaborate with companies for compliance through Chainalysis and Chekk, asset custody by Fireblocks, and stablecoin and fiat currency conversions by Fazz.

Alex Manson, Head of SC Ventures, stated:

Tokenization will broaden the application of many asset classes, while our Zodia Custody and Zodia Markets are engaged in institutional-grade digital asset custody and trading operations. Libeara, as an exciting new product, will be the next perfect step in better serving our users.

Libeara's First Client: Singapore Government Bond Fund

Additionally, Libeara will first collaborate with the Singapore-regulated fund platform FundBridge Capital to assist its clients in subscribing to and redeeming tokenized Singapore government bond funds.

Libeara CEO Aaron Gwak explained:

This will be the first time the Singapore government bond fund is offered in tokenized form.

He added, "To enhance credibility and structural integrity, the fund will work with international credit rating agencies to rate its assets' quality and token structure."

Traditional Finance Rushing into Tokenization Market

In addition to blockchain technology, tokenization in traditional finance seems to have quickly caught the attention of major banking institutions and has become a highly anticipated future trend.

Earlier this month, HSBC Bank, one of the world's largest precious metals custodians, is attempting to tokenize the ownership of physical gold held in its London vaults and provide users with more convenient trading services through its digital platform, HSBC Orion.

Last month, UBS Asset Management, Switzerland's largest financial holding company, launched a pilot program for a tokenized currency market fund on Ethereum as part of its "Guardianship Program" to promote DeFi and asset tokenization.

Tyrone Lobban, Head of Blockchain at JPMorgan Chase, also expressed optimism about this development:

"99.9% of my conversations with clients are about tokenized forms of traditional financial instruments, not cryptocurrencies."

This indicates that the focus of major broker-dealers or asset management companies is on the tokenization process of traditional finance rather than cryptocurrencies themselves.