CDP Bonds

CDP is active on financial markets through a medium-to-long-term bond issuance programme (Debt Issuance Programme) and a short-term Commercial Paper Programme, reserved to institutional investors. Since 2023 CDP is also active on the US market with a Yankee Bond issuance. Furthermore, CDP offers bond issuances for retail investors resident in Italy.

Digital Bond

CDP issued its first digital bond on Distributed Ledger Technology (DLT), with settlement in Central Bank currency, through the technical solution developed by Bank of Italy: TIPS Hash-Link. The issue was subscribed by a sole institutional investor for a total amount of 25 million euro.

CDP's Digital Bond represents the first issue in Italy pursuant to Decree Law No. 25/2023 (DL FinTech) on the issue and circulation of financial instruments in ‘digital format’, with settlement in Central Bank currency.

In April 2024, in fact, CONSOB approved CDP's application for inclusion in the list of DLT Registry Managers, a preliminary step for CDP's participation in the work of the European Central Bank (ECB), part of the initiative “Exploratory work on new technologies for wholesale central bank money settlement” (Exploratory Work).

The transfer to the investor and the simultaneous settlement of the transaction took place on the same closing day, through CDP's DLT platform linked to the Bank of Italy solution.

CDP's Digital Bond Smart Contract is available at the Polygonscan link.

Nominal value: 25 million

Currency: Euro

Coupon: 3.633%

Expiration: 18/11/2024

Trade Date: 18/07/2024

Settlement Date: 18/07/2024 (T+0)

Investors: Sole institutional investor

Form of the Notes: Digital

Settlement: Central Bank currency on T2 through Bank of Italy’s “TIPS Hash-Link”

Blockchain: Polygon

DLT Registry Manager: Cassa Depositi e Prestiti S.p.A. (CDP)

Strategic Goals

To contribute to the validation of an innovative technological model for the issuance of domestic digital bonds
To promote the execution of financial transactions in the context of the recently adopted national regulatory framework for the issuance of financial instruments based on DLT technology
To settle the financial flows of the Digital Bond through the solution TIPS Hash - Link in Central Bank currency, the safest currency for the settlement of financial transactions

Our 3-step path

CDP publishes together with IBM and NEXI (formerly SIA) a White Paper on the hypothesis of the adoption of Blockchain technology in the financial sector.

The emanation of the DL FinTech (converted into law on May 15th, 2023) creates the framework for the issuance and circulation of digital financial instruments by harmonizing domestic legislation with the provisions of the so-called European Pilot Regime (Regulation EU 2022/858)

CDP submits application to CONSOB for inclusion in the list of DLT Registry Managers pursuant to DL Fintech, obtaining approval in April 2024
CDP obtains the authorization from the ECB to participate in the Exploratory Work in the second wave (July - November 2024)
On July 18th, 2024, CDP successfully concludes the issue of the first Digital Bond under the DL Fintech and with simultaneous settlement of the financial flows in Central Bank currency

CDP Bonds

Digital Bond

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