In a groundbreaking move set to revolutionize bond trading, Citi Securities Services has emerged as the first digital custodian participant on the BondbloX Bond Exchange (BBX), a platform that has been making waves since its inception in 2020. This partnership marks a significant step towards democratizing bond trading and providing investors with unprecedented access to the world of bonds through the power of blockchain technology.

BBX, the brainchild of innovation, was introduced to simplify bond investing, offering investors an electronic platform to monitor and transact bonds seamlessly. By fractionalizing full-sized bonds, BBX has paved the way for bond trading to mirror the advantages long associated with equities trading. The recent addition of settlement and custodial services in the BBX market has further enhanced its appeal.

Under this collaboration, eligible Citi clients can swiftly join the ranks of BBX participants, enabling them to trade both fractionalized and full-sized bonds effortlessly. Citi will oversee the seamless settlement and custody services, ensuring a smooth and secure trading experience for investors.

The partnership between BondbloX and Citi began in 2021 when BondbloX selected Citi to safeguard the bonds traded on its platform as fractionalized assets, aptly named “BondbloX.” This extended alliance opens up a world of possibilities for Citi’s clientele and other BBX participants. In addition to gaining access to digital custodian services, participants can diversify their investment portfolios with broader access to the global bond market and enjoy instantaneous settlement upon trade execution.

Dr. Rahul Banerjee, CEO and Co-Founder of BondbloX, expressed his enthusiasm about the partnership, stating, “The decision to partner with Citi was an easy one, given their reputation as a leading securities services provider and our history of collaboration.” He emphasized the transformative potential of Digital Custody in the bond market, with a focus on transparency, electronic operations, and universal accessibility.

Matthew Bax, Global Head of Custody for Citi Securities Services, underscored Citi’s commitment to advancing digital financial market infrastructure (FMI). Bax stated that Citi is dedicated to crafting products and services that cater to their clients’ evolving needs. Nadine Teychenne, Head of Digital Assets for Citi Securities Services, highlighted the scalability of their proprietary digital custody technology, which can seamlessly integrate with emerging permissioned networks, offering a unified custody service.

With approximately USD$27.8 trillion of assets under custody, administration, and trust globally, Citi Securities Services remains at the forefront of pioneering digital asset solutions aligned with its strategic objectives. These innovations augment Citi’s diverse offerings, spanning digital money, trade, securities, custody, asset servicing, and collateral mobility.

About Citi and BondbloX

Citi, a leading banking partner for institutions with cross-border requirements, excels in wealth management and is a trusted personal bank in the US. Operating in nearly 160 countries, Citi offers a comprehensive suite of financial products and services.

BondbloX, established in 2016, comprises debt capital market bankers and technologists from Singapore, India, and Mexico, united by a vision to democratize bond access. Regulated by the Monetary Authority of Singapore, the BondbloX Bond Exchange stands as the world’s premier fractional bond exchange.

As the financial landscape continues to evolve, Citi Securities Services’ partnership with BondbloX represents a significant step towards a digital future for bond trading. Investors can look forward to a more accessible, transparent, and efficient bond market, thanks to the pioneering efforts of these two industry leaders.