What is Savings Bond?

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Accepted Answer

A **Savings Bond** is a non-marketable, registered debt security issued by the U.S. Department of the Treasury to fund government operations, primarily designed for individual investors seeking a safe, low-risk investment with tax advantages. These securities, most commonly issued today as Series EE and Series I bonds through the TreasuryDirect platform, are distinct from marketable Treasury securities as they cannot be traded on the secondary market and are guaranteed to at least double in value over a 20-year period.

Savings Bond

What is Savings Bond?

What are the key differences between Series EE and Series I U.S. Savings Bonds, and how do their interest mechanisms function?

How do Savings Bonds compare to marketable Treasury securities like T-Bills and T-Bonds in terms of marketability and investor profile?

What is the relevance of Savings Bonds in the context of Real-World Asset (RWA) tokenization, and what are the key barriers to their on-chain representation?

Why are Savings Bonds excluded from the repurchase agreement (repo) market, and what does this reveal about their role in the financial system?

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