Banco do Brasil invested $5 million from its proprietary treasury in a digitally native structured note issued by Citigroup through its Luxembourg entity on Euroclear’s Digital Financial Market Infrastructure, or D-FMI, platform. The Brazilian state-controlled bank said the Aug. 19 transaction was the first of its kind involving a Latin American financial institution and that it invested its own funds rather than acting for clients. Citi’s London branch served as issuance and payment agent. The investment followed Citi’s issuance in March of the first native digital structured note on the platform, which was intended for distribution through Citi’s wealth-management business. The note’s reference assets were not disclosed. Digital-native securities are created, registered and managed on distributed-ledger infrastructure, integrating processes that traditionally rely on separate systems for issuance, settlement, reconciliation and recordkeeping.