Jibrel & Al Hilal Bank make “Programmable Assets” starting with Sukuk Bonds

The Jibrel network, a company with a growing worldwide presence, announced a while ago it was working with Al Hilal Bank to put Shariah-Compliant bonds on a blockchain. Yesterday, they shared more about their development and vision to program Sukuk Bonds. It’s unclear, if they are using the Ethereum mainnet or even if they did a real transaction yet. However, Jibrel’s strategy includes both.

It is but one step in our vision to put traditional assets on the Ethereum blockchain.

– Jibrel Networks

Included in the aforementioned link, they shared an “Infrastructure” diagram which calls out new responsibilities for legacy actors. Two of the six, jump out.

The Investment Bank translates the term sheet into code then program the assets.

The Custodian verifies and authenticates settlement and clearing of value of programmable assets.

Sukuk bonds come in three flavors. They are debt instruments, but have equity and governance features embedded, depending on the type. They are a great use-case for the kind sophisticated instruments one can create as capital becomes programmable.