DBS and Citi Achieve Milestone in Tokenized Cross-Border Payments
- DBS and Citi executed the first weekend tokenized cross-border payment between Singapore and the US using tokenized deposits.
- The transaction was finalized in minutes, a significant improvement over the typical two business days for traditional transfers.
- This payment utilized the Swift Digital Ledger to bypass banking hour limitations.
- Standard Chartered and HSBC had previously completed tokenized transactions on Swift’s blockchain ledger in August.
- Citi plans to launch a separate tokenized deposit network by mid-2027, operated by The Clearing House.
The successful transaction highlights how traditional banks are increasingly leveraging blockchain technology for efficient cross-border payments while maintaining deposits within banking channels.
This milestone indicates a shift towards faster transactions, as demonstrated by DBS’s claim of completing payments in minutes compared to traditional methods taking up to two days.
