Abu Dhabi Bank Reports’First’ Blockchain-based Transaction of’Sharia-Compliant Bonds’

Al Hilal Bank is now finished “rsquo & the planet;s sukuk trade ” utilizing blockchain technology.
Al Hilal Bank, based in Abu Dhabi, the United Arab Emirates (UAE), has announced that it has completed “the planet ’s original sukuk trade ” together with the usage of blockchain technologies, Reuters reports Nov. 26. Sukuk, a lawful instrument also called “sharia compliant” bonds, allows investors to generate returns without infringing on Islamic law.Reuters notes that Abu Dhabi’s Al Hilal Bank has used the distributed ledger technology (DLT) to “to market and settle in the secondary marketplace a small portion of its own $500 million five-year sukuk,” including:“Al Hilal Bank will transform the sukuk market through adopting blockchain and integrating it into their infrastructure, paving the way for advanced digitized Islamic sukuk. ”According to a spokeswoman for the lender, the price was worth $1 million, also offered by Al Hilal to a private investor. Reuters adds that Swiss-based fintech firm Jibrel Network, that includes offices in Dubai, engaged in the transaction.Earlier this month, a Korean startup, dubbed X8 AG,’d obtained an Islamic financial accreditation in the Shariyah Review Bureau (SRB) for the company’s Ethereum-based stablecoin, since Cointelegraph reported Nov. 12Back summer time, the Shariyah Review Bureau had released advice for Stellar, an open source system for distributed obligations , to deploy their technology into Islamic financial institutions. Stellar has promised to be the first distributed ledger protocol to obtain compliance certification, Cointelegraph composed July 18. […]

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