On Nov. 18, 2025, SG‑FORGE placed a short-term tokenized dollar-denominated bond in the United States referenced to SOFR, in a transaction purchased by trading firm DRW. The issuance marks SG‑FORGE’s debut in on‑chain issuances in the U.S. market and highlights the confluence between traditional infrastructure and DLT, signaling a concrete operational step toward institutional adoption.
SG‑FORGE, established in 2019 to connect capital markets with digital assets, issued a floating‑rate bond indexed to SOFR, the overnight funding rate backed by triparty repo market repos in dollars. Tokenization, defined as converting a financial asset into a “security token” registerable on a blockchain, was provided by Broadridge Financial Solutions in what the firm presented as the first live use of its tokenization capability.
The transaction was recorded on Canton Network, a privacy‑enabled blockchain infrastructure developed by Digital Asset, which, according to the release, processes more than 500,000 transactions daily and has attracted institutional participants such as Goldman Sachs and HSBC.
IntellectEU supplied the Catalyst Blockchain Manager to coordinate Broadridge’s and SG‑FORGE’s nodes on Canton’s interoperability layer, ensuring synchronized operations across the network components. BNY Mellon acted as paying agent and Mayer Brown provided legal advice, integrating traditional custody and legal processes with the distributed ledger workflow. DRW’s purchase of the instrument reflects institutional demand for digital debt formats, validating buy‑side interest in tokenized fixed income.
SG‑FORGE had already carried out tokenized issuances in Europe since 2019, including a €100 million bond of the European Investment Bank on the public Ethereum blockchain and the first repo operation in digital securities with a Eurosystem central bank. The subsidiary has also developed MiCA‑compliant stablecoins — EUR CoinVertible (EURCV) and USD CoinVertible (USDCV) — which, according to the firm, are integrated into Deutsche Börse’s central market systems for settlement and collateral management.
Details of the issuance and bond tokenization technology
The transaction combines distributed ledger technology with traditional custody and payment procedures, aiming to reduce operational frictions in issuance and settlement processes. The declared intent is to improve transparency and settlement speed, creating a pathway for standardized, institution‑grade digital debt workflows.
For traders and managers, the instrument is an institutionalizable format that may require updates to custody, hedging, and liquidity management processes. Using an official benchmark like SOFR keeps the rate risk profile within known frameworks, while tokenization introduces operational variables — such as key custody and systems compatibility — that affect execution and strategy deployment. Quick definition: MOVE is an interest‑rate volatility indicator; max pain is the price level that maximizes losses for option buyers or sellers at expiration; both are cited in derivatives analysis when they apply to tokenized fixed income.
SG‑FORGE’s U.S. issuance illustrates how DLT can be integrated with existing market infrastructure, offering a reference model for future on‑chain fixed income activity.
SG‑FORGE’s issuance in the U.S. represents a concrete operational step toward institutional adoption of tokenized debt and combines technology providers with traditional custodians and legal advisers.
