PT Sejahtera Bersama Nano (SBN) has officially made history by becoming the first token issuer in Indonesia to receive approval from the Financial Services Authority (OJK) for a crypto asset tokenization project with underlying government bonds. The ID Digital Bonds (IDDB) issued by SBN have officially become the first government bond tokenization project listed in the OJK Sandbox, based on approval letter No. S-514/IK.01/2024 dated October 8, 2024.
This project is an innovative step to digitize bond instruments using blockchain technology. The tokenization project allows bonds, which typically have a high initial purchase requirement, to be split into crypto assets that can be widely traded through digital platforms. This expands access for both retail and institutional investors to invest in government bonds more easily.
According to a report from Boston Consulting Group (BCG), the market value of tokenized assets, including bonds, is projected to increase significantly in the coming years. The report states that the global real-world asset tokenization market is expected to grow to a total value of over $16 trillion by 2030, encompassing bond, property, and equity tokenization. Tokenization technology broadens access for retail and institutional investors, enhances efficiency and transparency, and reduces asset trading costs.
Gumarus Dharmawan William, Chief Executive Officer of PT Sejahtera Bersama Nano (SBN), stated, “This is a significant step for Indonesia. The OJK has made history as the first financial regulator in Indonesia and even Southeast Asia to allow the implementation of a government bond tokenization project. PT Sejahtera Bersama Nano, through its product, ID Digital Bonds (IDDB), has now officially entered the OJK sandbox and become a pioneer in Indonesia with INDON34 bonds as the underlying asset.”
Previously, the INDON34 bond series denominated in US dollars could only be accessed by investors with a minimum purchase of $200,000 (approximately 3.1 billion Rupiah). With tokenization through IDDB, access to this instrument becomes broader, with a minimum purchase of only $1,000 (approximately 15.5 million rupiah) per token, making IDDB tokens more inclusive for investors from various segments of society.
“The tokenization innovation we present with IDDB is a strategic step to bring change to the bond market in Indonesia. We are proud to collaborate in creating this product, which is expected to increase capital inflow into the country and support Indonesia’s economic growth,” said Billy Surya Jaya, President Director of Nanovest.
Over the next 12 months, IDDB will undergo a testing phase in the OJK Sandbox before receiving full regulation. This project is the result of collaboration between SBN as the token issuer, Nanovest as an Indonesian crypto exchange with a current license as a prospective physical crypto asset trader (CPFAK), STAR Asset Management as the investment manager partner, and Bank Sinarmas as the custodian.
Hanif Mantiq, Director of Star Asset Management, acting as the investment manager partner in this project, said, “This tokenization innovation proves that crypto and government bonds can harmoniously synergize, offering safer and more affordable investment options. Crypto investors now have the opportunity to invest in government bonds with the same ease as when they invest in crypto assets. This emphasizes that although crypto investment is becoming more popular, government bonds remain relevant and attractive to young investors.”
This tokenization project not only aims to modernize Indonesia’s capital market but also seeks to increase financial inclusion, opening opportunities for more investors, both domestic and international, to participate in financial instruments in Indonesia. For more information about ID Digital Bonds and the development of this project, visit https://www.iddb.finance/id.