Global cryptocurrency exchange, KuCoin has partnered with the Thai government on its historic G-Token (Government Digital Bond) project. The exchange confirmed that it will work on the tokenized sovereign bond on Wednesday through its official page on X.
In a statement, KuCoin said it was the first cryptocurrency exchange to support the Thai government in the development of this innovative project. More so, the trading platform is the only global exchange partner in the G-Token project.
As revealed, Thailand’s Ministry of Finance unveiled the G-Token program on Wednesday with the focus of bringing sovereign bonds on-chain for the first time. Likewise, the Government Digital Bond is issued under Thailand’s Public Debt Management Act with banking from the country’s Ministry of Finance.
Additionally, with the program, Thailand aims to eliminate the bottlenecks that have shut retail investors from the bond market. Thanks to this project, Thailand is the first country to launch sovereign bonds on blockchain which underlines the growing interest in tokenized real-world assets.
More so, the tokenized bonds appeal to low-risk investors as they guarantee both principal and interest. By that, the G-Token permits investors to buy and trade bonds seamlessly on regulated crypto exchanges.
KuCoin to provide access to G-Token
As it stands, the Securities and Exchange Commission of Thailand cleared the local organ of the exchange in the country to ensure access to the G-Token.
Consequently, the exchange will be responsible for subscription, redemption, expanding digital infrastructure, and listing of the token. Other partners like XSpring Digital, SIX Network, and Krungthai XSpring also belong to the same consortium with KuCoin and are saddled with the responsibility of ensuring investors’ access to the token.
As part of its contribution, KuCoin will create liquidity with plans to nurture the project into the international markets. Similarly, KuCoin as part of its partnership effort will provide technology advisory to streamline blockchain integration.
Meanwhile, BC Wong the CEO of KuCoin said the crypto exchange will continue to support the push to build a synergy between traditional finance and blockchain. The executive opined that the G-Token underlines the capacity of crypto to support government-grade instruments.
He added that the support of the trading platform for the G-Token sets a global benchmark for financial innovations and inclusion.
Read More: