Malaysia Launches Tokenized Bond Platform With Round-the-Clock Settlement

Bank Negara Malaysia launched SSDS+, a platform for tokenized bonds and sukuk connected to a payment system that supports round-the-clock settlement in central bank money.

The Oct. 20 launch covers the issuance, deposit and safekeeping of tokenized bonds and sukuk, a form of Islamic debt. SSDS+ records who owns the securities and tracks their transfers. It handles the digital bond side of a purchase, while the separate RENTAS+ system carries the matching payment.

That payment uses central bank money. The integration makes payment and settlement services available at any hour. The structure keeps securities ownership records and purchase payments in connected but distinct systems.

The central bank built SSDS+ in-house using cloud and distributed ledger technology. Beyond wholesale issuance, the new platform is ready to support retail issuance of tokenized government and corporate bonds.