DBS Bank, a leading financial institution in Singapore, announced it will issue tokenized crypto notes on the Ethereum blockchain. The initiative is part of a pilot program to explore the use of digital assets for more efficient and transparent financial transactions.
DBS, the largest bank in Singapore, has announced the availability of tokenized structured notes on the Ethereum public blockchain as part of its comprehensive blockchain strategy.
As announced on Thursday, DBS will initially distribute tokenized notes to eligible investors of digital platforms, such as ADDX, DigiFT, and HydraX. Nevertheless, it intends to broaden its reach to investors on other third-party digital investment platforms.
Singapore has been expanding its status as a center for tokenized finance. The Monetary Authority of Singapore (MAS), the city-state’s central bank, has been conducting industry trials under Project Guardian. It investigates the integration of asset tokenization with the current market infrastructure.
The bank’s most recent action has expanded the availability of intricate financial products previously restricted to private clients.
Crypto-Linked Notes: DBS’s Initial Tokenized Product
The bank has introduced new crypto-linked notes offering asset class access through DBS’s digital asset ecosystem. When cryptocurrency prices increase, the notes are redeemed for cash.
The announcement stated, “[This] allows them to increase their exposure to the asset class without the need to manage any cryptocurrency.” “The note is also designed to reduce the risk of potential losses in the event of a decline in cryptocurrency prices.”
In September 2024, DBS introduced crypto-linked structured notes in conjunction with crypto options trading.
DBS Bank Addresses Growing Demand
The bank stated that there has been a significant demand for these instruments among investors. “DBS clients conducted more than US$1 billion in trades involving these instruments during the first half of 2025.” Additionally, commerce volumes increased by nearly 60% from Q1 2025 to Q2 2025.
Furthermore, DBS will tokenize common structured notes, such as credit-linked and equity-linked notes.
“The next frontier of financial markets infrastructure is asset tokenization,” stated Li Zhen, Head of Digital Assets at DBS. “Our inaugural tokenized product, a crypto-linked note, also addresses the increasing institutional demand for digital assets.”
