UBS Exploring Smart Bonds on Block Chain

UBS - which set up a Block Chain Technology Lab in London earlier this year - is investigating the issuance of smart bonds by leveraging block chain technology. Reports says that the bank's Alex Batlin, who heads up the lab, told a London financial conference last week that a smart bond is a financial instrument where interest rate adjustments and payment streams are fully automated. “The key attraction is that there is no middle or back office, and no registry, so clearly a major impact on costs,” said Batlin.