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Digital bonds can reduce the need for intermediaries and therefore lead to lower fixed costs provide better market transparency by increasing capacity to see trade flows and the identity of asset sellers and buyers and provide a much faster settlement speed. While there are still development milestones necessary to make these benefits apparent, the private sector has begun discussions on how to enter this space.

The Spanish Government recently issued a new royal-decree with the aim of protecting retail potential investors in digital financial instruments and assets (Royal Decree). This seeks to counter the increase of mass-market advertising campaigns in relation to the selling of crypto-assets, including bitcoin and other assets using Distributed Ledger Technology (DLT) targeted at the Spanish market.