China State-owned Futian Investment Holdings Issues 500 Million Yuan Tokenized Bond on Ethereum in Hong Kong First

Shenzhen Futian Investment Holdings Co., Ltd., a Fitch-rated A- municipal investment company, successfully issued a 500 million yuan ($69 million) tokenized bond on the Ethereum blockchain on August 29, 2025. The issuance represents Hong Kong's first public blockchain-based tokenized bond using Real-World Asset (RWA) tokenization technology and was subsequently listed on both the Macau and Shenzhen stock exchanges. 

CMB International served as the overall coordinator, joint global coordinator, and joint bookrunner for the transaction, marking the first time a Chinese bank-affiliated securities firm has led a public blockchain tokenized bond issuance . The Hong Kong-based investment banking arm of China Merchants Bank has been expanding its digital asset capabilities, having previously launched a crypto exchange in Hong Kong enabling 24/7 trading of Bitcoin, Ethereum, and Tether .

Futian Investment Holdings, established in November 1983 with registered capital of 4.026 billion yuan ($556 million), operates as a wholly state-owned enterprise under the Futian District People's Government in Shenzhen. The company functions as a comprehensive investment holding platform combining urban construction investment development with state asset management responsibilities. Its core business encompasses urban renewal projects, shantytown redevelopment, industrial building operations, and carbon economy initiatives across the Futian district. 

The bond, designated as FTID Token 001, carries a 2.62% interest rate with a two-year maturity period . The Ethereum-based structure enables continuous trading capabilities, differentiating it from traditional bond markets with fixed trading hours . Futian Investment Holdings, as a state-owned enterprise under the Shenzhen municipal government, manages urban development and infrastructure projects in the Futian district.

This issuance aligns with Hong Kong's broader push to establish itself as a digital asset hub, with the government actively promoting tokenization technology adoption in capital markets. The transaction represents a significant milestone in the integration of traditional finance with blockchain infrastructure, particularly for yuan-denominated securities. CMB International's involvement demonstrates major Chinese financial institutions' growing engagement with blockchain-based financial products despite mainland China's restrictive crypto policies.

The successful completion follows other tokenization initiatives in the region, including CMB International Asset Management's launch of a tokenized money market fund with DigiFT in August 2025 . The bond's dual listing on Macau and Shenzhen exchanges provides investors with multiple trading venues while maintaining regulatory compliance across jurisdictions. 

Industry observers view the transaction as a breakthrough for RWA tokenization in Asia, potentially paving the way for similar offerings from other Chinese state-owned enterprises seeking to access international capital markets through blockchain technology. The A- credit rating from Fitch provides institutional investors with familiar risk assessment metrics despite the innovative technological framework.