DTCC white paper outlines interoperability as key to scaling tokenization
RWA Signal Insight
InfrastructureThe Depository Trust & Clearing Corporation (DTCC), Citi, and Swift have co-authored a white paper emphasizing that interoperability is the critical factor for scaling tokenized financial markets. The report argues that without connected infrastructure, digital assets will remain trapped in fragmented silos, leading to increased operational complexity and reduced liquidity. By enabling seamless movement of assets, cash, and collateral across diverse networks, these institutions aim to support automated servicing, compliance, and event-driven payments. The paper highlights that programmability allows for embedded governance and risk management directly within digital assets, which is essential for institutional-grade adoption. Beyond technical connectivity, the authors stress that regulatory clarity, legal certainty, and robust governance are mandatory prerequisites for the transition from pilot programs to full-scale implementation. This collaborative effort signals a shift in institutional focus toward building the foundational plumbing required for a unified digital financial ecosystem. Ultimately, the integration of these systems is presented as the primary mechanism to reduce friction and improve capital efficiency in global markets.
Key points
- DTCC, Citi, and Swift identify interoperability as the primary requirement for scaling tokenized assets.
- Fragmented networks currently pose significant risks to liquidity and operational efficiency in digital finance.
- Programmability enables automated compliance and asset servicing throughout the entire lifecycle of an asset.
- Institutional adoption requires regulatory clarity and legal certainty alongside technical infrastructure development.
Background
The DTCC is the primary central securities depository in the United States, providing clearing and settlement services for the vast majority of financial transactions. Citi is a global investment bank, and Swift is the international messaging network that facilitates secure financial communication between thousands of institutions worldwide. Together, these entities represent the core infrastructure layer of the traditional global financial system.