SEC Study on Tokenized Bonds Cost and Liquidity

Thansettakij•Economy•12h ago

Reader Briefing

The Securities and Exchange Commission (SEC) revealed a study showing that Tokenized Bonds can significantly reduce issuance and borrowing costs while increasing liquidity compared to traditional bonds.

•Tokenized Bonds utilize blockchain or Distributed Ledger Technology (DLT) to digitize assets.
•Studies from HKMA, BIS, and ECB indicate reductions in distribution fees and yield spreads.
•Tokenization improves liquidity by narrowing bid-ask spreads and allowing fractionalization for retail investors.
•The SEC is preparing regulations to support a Digital Securities Ecosystem in Thailand.

Overview

•Tokenized Bonds use blockchain or Distributed Ledger Technology (DLT) to manage issuance, trading, registration, and settlement.
•AFME, OECD, and Citi Institute reported that approximately 4,710 million euros of Tokenized Bonds were issued globally in 2025.
•The Hong Kong Monetary Authority (HKMA) found that Tokenized Bond distribution fees decreased by an average of 0.22 percentage points or 25.8%.
•The European Central Bank (ECB) found that yield spreads for Tokenized Bonds decreased by an average of 0.14 percentage points or approximately 40%.
•The Hong Kong Monetary Authority (HKMA) observed that Tokenized Bonds narrow bid-ask spreads, with potential further narrowing to 0.072 percentage points if retail investor access is increased.
•The Securities and Exchange Commission (SEC) stated that study results must be interpreted with caution due to limited sample sizes and the early stage of the market.
•The Securities and Exchange Commission (SEC) is monitoring Tokenization and supporting the creation of a Digital Securities Ecosystem in Thailand.
•The Securities and Exchange Commission (SEC) is preparing regulations for electronic securities to be implemented when relevant laws take effect.

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Key Entities

Organization

Securities and Exchange Commission(สำนักงานคณะกรรมการกำกับหลักทรัพย์และตลาดหลักทรัพย์)ℹ️

The Thai regulator studying Tokenized Bonds and preparing regulations for a Digital Securities Ecosystem.

Asian Financial Markets in Europe(สมาคมอุตสาหกรรมตลาดการเงินยุโรป)

An organization that provided data on global Tokenized Bond issuance in 2025.

Organisation for Economic Co-operation and Development(องค์การเพื่อความร่วมมือทางเศรษฐกิจและการพัฒนา)ℹ️

An organization that provided data on global Tokenized Bond issuance in 2025.

Citi Institute

An entity that provided data on global Tokenized Bond issuance in 2025.

Hong Kong Monetary Authority(ธนาคารกลางฮ่องกง)ℹ️

A central bank that conducted a study in 2023 on Tokenized Bond costs and liquidity.

Bank for International Settlements(ธนาคารเพื่อการชำระหนี้ระหว่างประเทศ)ℹ️

An organization that conducted a study in 2025 comparing Tokenized Bonds with traditional bonds.

European Central Bank(ธนาคารกลางยุโรป)ℹ️

A central bank that conducted a study in 2026 on Tokenized Bond yield spreads and liquidity.