DBS, Citi bypass traditional banking hours in cross-border tokenised deposit trial
DBS and Citigroup successfully executed a cross-border US dollar payment on a Saturday, demonstrating the potential for tokenized deposits to bypass traditional banking hours. By utilizing the Swift Digital Ledger, the banks completed the transaction in minutes, effectively eliminating the two-day settlement delays typically caused by time zone mismatches and weekend closures. This milestone highlights a shift from experimental blockchain projects to practical, real-world adoption for global liquidity management. As digital industries like e-commerce demand 24/7 financial services, the ability to move capital outside of standard banking windows becomes a critical competitive advantage. The initiative aligns with broader industry trends, as 50 percent of finance leaders are now exploring blockchain-powered tools for foreign-exchange and liquidity risk. With outbound cross-border payment volumes in Asia projected to reach US$24 trillion by 2033, this trial underscores the growing necessity for instantaneous value transfer infrastructure. DBS, a member of Swift’s core design group, expects its investment in tokenized finance to rival traditional payment spending within three years.
- DBS and Citi completed a cross-border USD payment on a Saturday using tokenized deposits.
- The transaction utilized the Swift Digital Ledger to bypass traditional two-day settlement windows.
- Asia's outbound cross-border payment volume is projected to hit US$24 trillion by 2033.
- DBS expects tokenized finance spending to match traditional payment infrastructure within three years.
DBS is a Singapore-based multinational banking corporation that has aggressively integrated blockchain technology into its treasury and payment services. The bank operates a blockchain-powered banking suite launched in 2024, which includes treasury tokens designed to facilitate instantaneous value transfers for corporate clients. DBS is also a key participant in the Swift digital ledger architecture design group, positioning it at the forefront of institutional efforts to modernize global settlement systems.