Hong Kong has issued a HK$ 800m (approximately US$ 100m) green tokenized bond.

Coupon payments, principal payment at maturity and secondary trade settlement use data in a private blockchain. The records on the blockchain are the “legally definitive and final records of ownership” per a statement from the Hong Kong Monetary Authority (HMKA).

The bond yields 4.05%, has a 365-day tenor and is rated A-1+ / F1+ (S&P / Fitch).

The HKMA and Hong Kong Special Administrative Region of the People’s Republic of China (HKSAR) government have said they will release a whitepaper with their learnings from the issuance – to provide a blueprint for other issuers to issue blockchain-ownership-recorded bonds in Hong Kong.

The use of proceeds will be for projects that fall into eligible categories under the HKSAR government’s green bond framework.

Governments, regulators and leading issuers in other jurisdictions may want to consider following suit.