DBS and Citi Execute First Weekend Cross-Border Payment Using Tokenized Deposits
DBS (SGX: D05) and Citigroup (NYSE: $CITI) have successfully executed a cross-border US dollar payment between Singapore and the United States over the weekend using tokenized bank deposits on Swift's Digital Ledger. The transaction, completed in minutes rather than days as is typical with traditional systems, marks only the second live test of continuous payments via blockchain infrastructure after HSBC and Standard Chartered conducted one earlier this year. This development highlights growing interest among financial institutions to leverage digital assets for faster cross-border transactions outside regular banking hours. DBS noted that 50% of surveyed finance leaders are exploring blockchain tools, while Asia's outbound cross-border payment volume is projected to nearly double by 2033. Swift has been testing its ledger since July with support from banks across six continents. JPMorgan Chase (NYSE: $JPM), Bank of America (NYSE: $BAC), and Citigroup are also developing a shared tokenized deposit network, expected to launch in early 2027 via The Clearing House. This shift toward blockchain-based systems is seen as essential for maintaining competitiveness in the evolving digital economy.
Topics: blockchain digital_economy Swift_Digital_Ledger tokenized_deposits