A Libeara prototype was developed as part of Project Genesis in collaboration with the Hong Kong Monetary Authority (HKMA) and Bank of International Settlements (BIS), the latter’s first green finance project exploring new opportunities in green bond tokenisation.

On top of improving investor participation by streamlining the bond issuance and lifecycle processes, the project also aims to facilitate direct exchange between asset holders, track the green impact of invested funds, and lower investment barriers by allowing smaller minimum allocation sizes.

With further optimisation, the ledger-facilitated tokenisation process can reduce complexity, and by extension cost, within direct exchange processes. This is in contrast to existing payment infrastructures such as the Faster Payment System, which is hampered by technical complexity despite being incredibly stable.

On the flip side, the prototype allowed for digital assets issued by the Hong Kong government as well as path integrations with financial infrastructure of the Hong Kong Stock Exchange (HKEX) to be concept-tested. By allowing retail investors to conduct direct secondary market exchanges using the underlying ledger infrastructure, the prototype was considered to be a successful proof-of-concept.