Singapore’s financial scene just got a splash of digital color. DBS, the city-state’s banking titan, has embarked on a bold journey to bring tokenized structured notes to the Ethereum blockchain, opening up access to intricate financial products beyond its private clientele. Launched on Thursday, these instruments are set to be traded on Singaporean platforms ADDX, DigiFT, and HydraX—marking a significant pivot for DBS toward a more inclusive financial ecosystem.
Tokenization: A New Era for Investors
DBS is spearheading a transformation in the way structured notes are offered. Traditionally, these products, often tailored and carrying hefty minimum investments of $100,000, were the preserve of private banking. By splitting each note into $1,000 units, DBS aims to make these securities not only fungible but also more accessible and versatile.
The significance? Investors can now manage their portfolios with greater dexterity. “Asset tokenization is the next frontier of financial markets infrastructure,” stated Li Zhen, head of foreign exchange and digital assets at DBS. “Our first tokenized product addresses the growing institutional appetite for digital assets. With this initiative, a broader segment of investors can now tap our digital asset ecosystem to build exposure to the asset class,” he elaborated. This aligns with the broader trend of institutional adoption, as highlighted in Tokenized Assets Hit $270 Billion Record as Institutions Standardize on Ethereum.
Singapore: A Tokenized Finance Hub
DBS’s move underscores Singapore’s burgeoning status as a global hub for tokenized finance. The city-state has been aggressively advancing initiatives like Project Guardian, spearheaded by the Monetary Authority of Singapore (MAS). This project delves into the tokenization of assets, from fixed income to foreign exchange, with the aim of weaving a robust cross-border financial infrastructure.
Li Zhen’s comments echo the sentiment of an industry on the cusp of change. The bank is not stopping at crypto-linked products; there’s a roadmap for tokenizing traditional equity and credit-linked notes as well. This shows DBS’s commitment to embracing the digital shift, as it continues to play a pioneering role in MAS’s pilots, now shifting from private to public blockchains. The potential for tokenized indexes is also being explored, as seen in S&P Dow Jones in talks to bring tokenized indexes to exchanges, DeFi: Exec.
Market Dynamics and the Road Ahead
The timing couldn’t be more apt. DBS clients have already executed over $1 billion in trades involving these instruments in the first half of 2025, with a staggering 60% hike in trade volumes from Q1 to Q2. This surge reflects a growing appetite among family offices and professional investors—a segment that has been mushrooming in Singapore. In 2024 alone, the number of single-family offices in the city-state soared to over 2,000.
Here’s the catch: while the tokenized note market shows promise, it raises questions about scalability and regulatory hurdles. As DBS ventures into this new territory, the financial world watches with bated breath. Will the success of these initial offerings pave the way for broader adoption?
The journey is as ambitious as it is groundbreaking. In a world where digital assets are becoming the norm, DBS’s initiative could very well set the stage for future innovations in tokenized finance. Yet, the path is fraught with challenges, not least the need for industry-wide standards and robust regulatory frameworks.
In conclusion, DBS’s foray into tokenized structured notes isn’t just about offering a new financial product—it’s about redefining the financial landscape itself. As the pieces fall into place, the coming months will reveal whether this bold step will indeed catalyze a broader shift in global finance, and if Singapore will cement its role as the nexus of this digital revolution.
Source
This article is based on: DBS Launches Tokenized Structured Notes on Ethereum, Expanding Investor Access
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Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
