Harneys and droppRWA Plan First Blockchain-Recorded Catastrophe Bond Issue

Law firm Harneys and tokenization platform droppRWA plan to issue the first catastrophe bond with ownership recorded directly on the blockchain, with the first trading target set for early 2027. According to Foresight News, the project is still subject to applicable regulatory requirements and approvals, and all platform administrator roles must be licensed under Bermuda's Digital Asset Business Act 2018. Catastrophe bonds are part of a $65.6 billion market used by insurers, reinsurers, and government agencies to transfer natural disaster exposure to capital markets investors. The second quarter of 2026 was the largest quarter in catastrophe bond issuance history, with 48 transactions totaling $11.3 billion, and the Bermuda Stock Exchange handled 93% of global catastrophe bond issuance in 2025. To lower the investment threshold, investors would not buy catastrophe bond notes directly, which typically have a minimum denomination of $250,000. Instead, they would buy beneficial interests in a vehicle that holds the bonds and passes through returns, with the minimum investment expected to fall to $5,000.