The Luxembourg State Treasury has issued the first distributed ledger technology (DLT)-native benchmark bond from a European government.
The tokenised bond, with a nominal value of €1.7 billion and a 10-year maturity, was placed and fully subscribed on 14 October 2026, and successfully settled on 21 October 2026.
The issuance was carried out through Luxembourg’s central securities depository, LuxCSD, leveraging the digital post-trade platform D7 DLT from its parent company, Clearstream.
Spuerkeess facilitated the issuance as the joint lead manager, settlement lead manager, LuxCSD principal agent, issuing, listing, and paying agent.
Spuerkeess, Citi, BGL BNP Paribas, Barclays, and Crédit Agricole Corporate and Investment Bank (CACIB) acted as syndicate banks.
The transaction combined D7’s DLT infrastructure with international distribution across Clearstream and Euroclear Bank via the Bridge — the established communications and settlement link between both international central securities depositories.
Made in Luxembourg, the issuance established a Luxembourg-law governed bond issued by the government of the Grand Duchy of Luxembourg. The bond is eligible for use as collateral in Eurosystem credit operations.
Bob Kieffer, director at Luxembourg State Treasury, says: “After last year’s first-ever digital treasury certificate, this benchmark-sized DLT-native issuance confirms Luxembourg’s role as a trailblazer for digital finance in Europe and beyond.
“I would also like to acknowledge everyone who has been part of this journey and thank Minister of Finance Gilles Roth for his support and leadership.”
Jens Hachmeister, head of issuer services and new digital markets at Clearstream, comments: “Clearstream and LuxCSD are proud to support this development, delivering pioneering DLT capabilities, integrated in a regulated, scalable infrastructure environment.
“Combining our D7 capabilities with the local expertise of LuxCSD, we are enhancing the potential of securities, offering flexible solutions that respond to evolving technologies, and changing market expectations.”
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