Overview
I managed Project Genesis (Phase 1) at the BIS Innovation Hub Hong Kong Centre as project lead. Project Genesis developed two prototypes, one using the Stellar blockchain and another using the DAML framework, to introduce tokenised green bonds in small denominations, thereby giving greater access to retail investors. Such retail mobilisation may help give wider demand to a sustainable asset class with low risk characteristics as well as foster ownership and support of green projects.
The project also integrated real-time tracking, using IoT and DLT technology, as well as disclosure of green output for investors via mobile apps, thereby showcasing technologies that can be used to reduce greenwashing and increase transparency.
Three project reports with detailed information on Project Genesis as well as the two prototypes developed can be found on the BIS project page. Further information on milestones reached, such as a showcasing Project Genesis in a live panel discussion during Hong Kong FinTech Week 2021 and a presentation at COP26, are provided further below.
Team Genesis
Project Genesis was carried out in cooperation with the Hong Kong Monetary Authority and featured three key participants at the BISIH: Bénédicte Nolens (Head of BISIH Hong Kong Centre), Marcel Bluhm (Project Lead), Asad Khan (Tech Advisor).
After 6 months of paving the path, Project Genesis started in earnest with the Advisory Panel’s kick-off meeting on 17 June to discuss contents for the visionary project report.
The Advisory Panel’s first prototype design session to understand the current bond issuance process and its pain points took place on 24 June.
The second Advisory Panel Report Meeting for Project Genesis took place on 2 July. You will read about the topics agreed on in that meeting in a forthcoming visionary report.
The third Advisory Panel Report Meeting for Project Genesis took place on 5 August. Stay tuned for the visionary Genesis report forthcoming in October.
The BIS issued a press release on 24 August 2021 to announce Project Genesis.
The fourth Advisory Panel Report Meeting for Project Genesis took place on 2 September 2021 with a project midpoint discussion on prototype development.
The HKMA issued a press release on 3 November 2021 to announce Project Genesis at Hong Kong FinTech Week.
Upon delivery of two prototypes and three project reports, the BIS issued a second press release for Project Genesis on 4 November 2021.
The first prototype simulates the lifecycle of a typical bond on a permissioned distributed ledger platform, including origination, subscription, settlement and secondary trading. The prototype is able to considerably streamline these processes.
A second prototype with similar capability uses a public blockchain infrastructure. It also streamlines the investor onboarding and facilitates the direct payment and settlement between the issuer and investor.
In addition to developing two prototypes, Project Genesis delivered three BISIH reports.
The first Genesis report features a collection of articles by members of the Advisory Panel.
The second Genesis report and third Genesis report provide technical details on both prototypes built.
To showcase Project Genesis I moderated a live panel during Hong Kong FinTech Week.
Project Genesis was also showcased with a presentation at COP26.
Project Genesis was concluded with a fifth Advisory Panel meeting during which both prototypes were presented to all Genesis participants.
