Citi Securities Services Becomes First Digital Custodian Participant of BondbloX Bond Exchange

Citi Securities Services has announced that it is the first digital custodian participant of the BondbloX Bond Exchange (BBX). BBX was launched in 2020 with the aim of simplifying bond investing enabling investors to track and trade bonds electronically. This partnership between Citi and BBX is seen as a significant step forward in revolutionizing bond trading and making it more accessible to a wider range of investors.

As a participant of the BBX, Citi’s clients who meet certain criteria can now begin trading bonds, both fractionalized and full-sized, almost immediately. Citi will provide seamless settlement and custody services for these trades. The extended relationship between Citi and BondbloX brings additional opportunities and benefits for Citi’s clients and other BBX participants.

By becoming a digital custodian participant, clients gain wider access to the global bond market, allowing for greater diversification of investment portfolios. They also benefit from immediate, atomic settlement at the point of trade execution. This partnership enables Citi’s clients and others to fully enjoy the benefits of bond trading with the support of Citi’s securities services.

Nadine Teychenne, the Head of Digital Assets for Citi Securities Services, highlighted that Citi leveraged its expertise in exchange-traded settlement and custody services in the development of this partnership. With its extensive global network and range of securities services solutions, Citi Securities Services is well-positioned to provide cross-border support for clients.

Citi continues to develop digital asset solutions and enhance its products and services across various areas, including digital money, trade, securities, custody, asset servicing, and collateral mobility. This aligns with their strategic approach and goal of offering innovative solutions that meet their clients’ needs.

Overall, the partnership between Citi and BBX marks an important milestone in advancing bond trading using distributed ledger technology, ensuring greater accessibility and efficiency for investors in the bond market.

Sources:
– BondbloX Bond Exchange (BBX)
– Citi Securities Services