Citi, DBS Push Tokenized Deposits Further

TLDR

Table of Contents

DBS and Citi completed a weekend U.S. dollar payment between Singapore and New York using tokenized deposits through SWIFT’s Digital Ledger.
The September 5 transaction settled within minutes, compared with up to two business days for some traditional cross-border payments.
The test showed that tokenized deposits can support USD transfers outside normal banking hours, including weekends and across time zones.
Citi joined Swift’s 24/7 tokenized deposit payment pilot in July and is also working on a U.S. tokenized deposit network.
DBS has expanded its blockchain banking services since 2024 and is part of Swift’s 12-bank digital ledger core design group.

DBS and Citi have completed a weekend U.S. dollar payment between Singapore and the United States using tokenized deposits through SWIFT’s Digital Ledger. The transaction took place on September 5 and settled within minutes, according to DBS. The test marks a new step in banks’ efforts to support faster cross-border settlement beyond standard operating schedules.

DBS and Citi Test Tokenized Deposits

DBS said the payment moved between the Singapore-based bank and Citi’s New York office outside normal banking hours. Traditional cross-border dollar payments can take up to two business days when weekends and time zones interrupt settlement. The use of tokenized deposits allowed the banks to complete the payment without waiting for the next business day.

The banks used SWIFT’s Digital Ledger to complete the transfer. The test showed that institutions can move U.S. dollars during periods when conventional payment systems may not process transactions.

DBS said the transaction removed delays linked to weekends and different operating hours. The service targets companies that need faster access to funds across several markets, including e-commerce and digital service businesses.

Rachel Chew, Group Chief Operating Officer at DBS, said the project shows tokenized money moving from trials toward practical use. She said the work supports a more connected and always-available financial system. The bank also linked the test to wider efforts to modernize cross-border payments.

Citi Expands Digital Payment Work

Citi joined Swift’s pilot for round-the-clock cross-border payments with tokenized deposits in July. The bank has said its technology can support near-instant transfers across selected markets where the service operates.

Citi also belongs to a group of major U.S. banks working on a tokenized deposit network through The Clearing House. The group is targeting a launch during the first half of 2027.

DBS has expanded its blockchain-based banking services since launching a digital banking suite in 2024. The offering includes DBS Treasury Tokens, which the bank designed to help corporate clients manage liquidity and move funds.

The bank also holds a role in SWIFT’s digital ledger development work. DBS is the only Asian-headquartered institution in SWIFT’s 12-bank core design group, which is helping shape the ledger used for tokenized payments across global markets.

✨ Limited Time Offer