There should be no reason why a vendor should not accept a Deposit Bond in lieu of a Cash Deposit. However, most "Standard" Contracts for Sale provide for a cash deposit to be paid.

Therefore, before you agree to purchase a property (or bid at an auction) check with the vendor that they will accept a Deposit Bond instead of a cash deposit. You should also ensure that your solicitor or legal representative inserts the relevant clauses into the Contract for Sale to enable the Deposit Bond to replace the cash deposit.