SocGen Plans for a Digital Asset Service
Societe Generale announced a €5 million standardized product on the Tezos public blockchain as a security token.
The asset was purchased by a group corporation, i.e. Societe Generale Assurance. The token represented a medium-term callable note.
Other blockchain pilots were carried out by Societe Generale, Forge. Forge announced that it expects to launch a service for skilled clients by 2022.
This will include services such as crypto asset structuring, issuance, exchange, and custody.
In 2019, when it sold a €100 million covered bond on Ethereum, it became one of the first central banks to use a decentralized blockchain.
Last year, the Banque de France released a €40 million covered bond with central bank digital currency (CBDC).
According to the banks, this proves the legal, legislative, and operational viability of using public blockchains.
Lugh, a French company, released a Euro stablecoin in March, based on the Tezos blockchain. And interestingly, it is backed by Societe Generale bank deposits.
The bank is one of eight consortiums experimenting with the Banque de France on a wholesale CBDC.
As part of the experiments, it is partnering with Tezos development house Nomadic Labs and Ethereum developer ConsenSys.
Also, Societe Generale has a range of business blockchain initiatives. For U.S. equity trades, it uses the Paxos Settlement Service.
It has also invested in Liquid Share, a post-trade solution for SME stocks.