HONG KONG (Reuters) – A $3 billion bond organized by a China Building Financial institution Corp (CCB) unit utilizing blockchain expertise, for itemizing on a Malaysian cryptocurrency-focused alternate, has been withdrawn on the issuer’s request, the alternate stated.
The bond was to be issued by Longbond Ltd, a particular objective automobile created solely to concern digital bonds and deposit the proceeds with CCB’s department in Labuan, a Malaysian offshore monetary centre.
CCB Labuan was lead arranger and itemizing sponsor of the bond, which was to be tradable on the FUSANG alternate, a Labuan-based buying and selling platform centered on digital belongings together with cryptocurrency akin to Bitcoin.
On Monday, FUSANG stated that on 13 Nov., the day the bond had been as a result of be traded, it had obtained a letter from CCB Labuan on behalf of Longbond suspending the itemizing, and on 20 Nov. was knowledgeable by CCB Labuan that the issuance wouldn’t proceed.
The financial institution didn’t give a purpose for the suspension, FUSANG Chief Govt Henry Chong stated.
A CCB consultant in Beijing declined to remark.
Earlier this month, following media stories in regards to the bond, the financial institution stated CCB Labuan was not the issuer of the bond, and that the department didn’t settle for Bitcoin.
Reporting by Alun John; Enhancing by Christopher Cushing