announcement made by the finance ministry, (OeKB) will also be responsible for deploying the notarization service to authenticate auction transaction data and subsequently store it on the blockchain. OeKB has also confirmed that it will use internal IT resources to oversee the deployment that will employ the ethereum blockchain to store the data as hash values on the public network, as indicated by a news report from Kleine Zeitung on Tuesday. Angelika Sommer-Hemetsberger, member of the management board of OeKB, commented in the announcement:
“Blockchain technology offers great potential for increasing efficiency and ensuring the quality of bank processes. Therefore, we have been dealing with this topic intensively for some time now and have already tested several prototypes. Starting the real operation on behalf of OeBFA is a pleasing and logical next step.”
Markus Stix, head of the OeBFA, stated
“This added security contributes to a high level of confidence in the auction process of Austrian government bonds and strengthens Austria’s good standing in the market, which can also indirectly contribute to favorable financing costs.”
This step marks the Austrian government’s first move to adopt blockchain for domestic financial transactions and yet another case in which blockchain is being adopted in a bond-issuance process.
Last July, the manufacturing company behind automaker Mercedes-Benz – Daimler AG – issued a €100 million blockchain bond on a private version of the ethereum blockchain. Just last month, the World Bank Group announced it raised $81 million during its landmark bond issuance using a private blockchain network created by the Commonwealth bank of Australia.