Ethereum News Today: DBS Launches Tokenized Structured Notes on Ethereum to Expand Digital Asset Access

Generated by AI AgentCoin World
Thursday, Aug 21, 2025 6:21 am ET2min read
Aime RobotAime Summary

- DBS Bank launched Ethereum-based tokenized structured notes, offering $1,000 fungible units to accredited/institutional investors via platforms like ADDX and HydraX.

- The product provides crypto price exposure with downside caps, driving $1B+ in H1 2025 trades and 60% Q2 volume growth, reflecting strong institutional demand.

- Aligning with Singapore’s Project Guardian, DBS’s initiative supports the city-state’s tokenized finance ambitions while expanding access for 2,000+ local family offices.

- As a pioneer in blockchain innovation, DBS reinforces its “World’s Best Bank” reputation through scalable tokenization strategies enhancing market efficiency and accessibility.

DBS Bank has introduced tokenized structured notes on the

blockchain, making it the latest financial institution to leverage blockchain technology for institutional-grade products. The notes are available exclusively to accredited and institutional investors through third-party platforms including ADDX, DigiFT, and HydraX, expanding access to DBS’s strategies beyond its private client base. This marks a significant shift from traditional structured notes, which often require minimum investments of $100,000 and are non-fungible due to customization [1].

The newly launched tokenized instruments are structured as $1,000 units, making them fungible and easier to trade. These notes offer participation in cryptocurrency price gains while capping downside risk, providing a structured approach to digital asset exposure. By fractionalizing the investment, DBS is enabling greater portfolio flexibility and broadening access to complex financial instruments previously limited to high-net-worth individuals [1].

Client demand for such products has surged, with DBS reporting over $1 billion in trades involving these instruments during the first half of 2025. Trade volumes saw a nearly 60% increase from Q1 to Q2 2025, highlighting strong institutional interest in structured digital asset products [1]. The bank notes that the expansion to third-party platforms is expected to further drive adoption among professional investors.

This initiative is part of DBS’s broader strategy to innovate in the blockchain space. The bank has been actively developing and scaling its tokenization ecosystem since 2021, aiming to improve the efficiency and accessibility of financial markets. Li Zhen, Head of Foreign Exchange and Digital Assets at DBS, described asset tokenization as “the next frontier of financial markets infrastructure,” emphasizing its role in meeting growing institutional demand for digital assets [1].

The launch also supports Singapore’s efforts to establish itself as a global hub for tokenized finance. The initiative aligns with the Monetary Authority of Singapore’s Project Guardian, which explores tokenization across various asset classes and infrastructure development. DBS has previously participated in these regulatory pilots, starting with permissioned blockchains before moving to public networks like Ethereum [1].

The number of single family offices in Singapore has grown to over 2,000 in 2024, a 43% increase from the previous year, reflecting a broader trend of sophisticated investors seeking innovative investment strategies [2]. The bank’s move to tokenize structured notes aligns with this demand, offering tailored digital asset exposure to these investors.

DBS’s tokenized structured notes remain subject to the inherent risks associated with cryptocurrency-linked products. Investors are advised to carefully assess their risk tolerance and investment objectives before committing capital. Despite these risks, the move underscores DBS’s leadership in digital innovation, reinforcing its reputation as a pioneer in blockchain-based financial solutions [1].

The bank’s ongoing focus on digital transformation and technological integration is further evidenced by its recognition as “World’s Best Bank” and “Global Bank of the Year.” Its tokenized structured notes initiative adds to this legacy, reinforcing its position in shaping the future of finance, particularly in Asia [1].

Source:

[1] DBS

[2] Singapore family offices exceed 2,000 in 2024, up 43% on year

[3] DBS