Singapore's largest bank, DBS, has taken a significant step to further strengthen its presence in the digital asset ecosystem. The bank announced the launch of tokenized structured notes on Ethereum, a public blockchain, for the first time. This move aims to open complex financial products, traditionally accessible only to high-net-worth investors, to a wider investor base.
DBS's structured notes typically require a minimum investment of $100,000 and are often considered illiquid, tailored to private clients. However, with the bank's new tokenization model, these products will now be offered in $1,000 increments. This allows investors to trade more flexibly, manage their portfolios more easily, and react quickly to market fluctuations.
Tokenization not only lowers the investment threshold but also makes products more liquid and transparent. This attracts the interest of both professional and institutional investors and reinforces Singapore's growing role as a tokenization hub.
Not limited to DBS clients
The bank's first tokenized products announced will be structured notes indexed to crypto assets. These products are designed to provide cash returns when cryptocurrency prices rise while limiting potential losses when they decline.
Crucially, these products will be accessible not only to DBS's own clients but also to a broader investor base through third-party platforms. Singapore-based digital investment platforms ADDX, DigiFT, and HydraX are among the prominent partners in this distribution process.
Demand is growing rapidly
DBS highlights the significant increase in institutional demand for digital assets recently. According to bank data, DBS clients alone executed over $1 billion in crypto-related options and structured notes in the first half of 2025. Trading volume increased by approximately 60% from the first quarter to the second quarter of the year.
This growth is particularly linked to the proliferation of family offices and professional investors in Singapore. By 2024, the number of single-family offices in the country is expected to exceed 2,000, a 43% increase. This serves as a significant catalyst for wealthy investors to turn to digital assets.
Why Ethereum?
DBS has decided to launch its tokenized products on Ethereum, a public network. The bank states that Ethereum is preferred due to its global reach, mature ecosystem, and security. While many financial institutions have previously opted for more closed and private blockchains, DBS's move into Ethereum is considered a strategic step in its goal of opening up to international investors.
DBS launched crypto-linked structured notes along with crypto options in 2024 and subsequently attracted attention with its stablecoin initiatives. Now, it plans to expand its range of tokenized products. The bank aims to tokenize not only crypto-based products but also equity-linked and credit-linked structured notes in the future.
Li Zhen, Head of Digital Assets at DBS, stated, “Asset tokenization is the next frontier in financial market infrastructure. This step aims to meet the institutional appetite for digital assets.”
