[SINGAPORE] Standard Chartered (StanChart) on Thursday (Dec 18) announced the launch of blockchain-based “tokenised deposits” in Singapore and US dollars for Ant International. This will enable the fintech firm to move funds in real-time, 24/7, and optimise its cash flow via its treasury platform, Whale, said the lender.
The bank said it aims to “set the blueprint” for how commercial banks can help companies move money between traditional bank accounts and modern blockchain networks.
The new solution demonstrates how businesses can use blockchain technology to make transactions faster, more secure, and more efficient, said StanChart.
Mahesh Kini, global head of cash management at StanChart, said: “As corporates and institutions increasingly rely on ‘just in time’ liquidity, demand for real-time and 24/7 treasury management is rapidly accelerating.”
The project builds on learnings from the Monetary Authority of Singapore’s (MAS) Project Guardian, an industry initiative that connects policymakers and financial players to improve market efficiency through digitisation. Both StanChart and Ant International are participants in the programme.
This specific solution was created alongside Singapore-based Ant International, a long-standing partner of the bank in this space.
Kelvin Li, general manager of platform tech at Ant International, said: “The new solution enhances our liquidity management by providing seamless and secure access to the working capital needs of our businesses globally.”
By using tokenised deposits, which are effectively digital versions of traditional bank funds, Ant International will now be able to move funds easily between its various entities, said StanChart. This will help the group better manage its treasury and working capital.
The solution supports transactions in Singapore dollars and US dollars in Singapore, as well as Hong Kong dollars, offshore Chinese yuan and US dollars in Hong Kong.
The bank noted that this capability reduces the difficulty of settling transactions across different markets using familiar currencies. The bank added that this workflow is “especially beneficial” for global companies that operate across borders and require instant, round-the-clock management of their funds.
The full rollout follows a successful November 2024 trial of SGD-denominated liquidity transfers between StanChart and Ant International entities. That was preceded by successful blockchain-based test settlements of HKD-denominated transactions.
In November this year, MAS said that it will trial the issuance of tokenised bills to primary dealers in its continued push for institution-focused regulatory leadership in the tokenisation space.
This followed an October announcement of the Borderless, Liquid, Open, Online, Multi-currency initiative to extend settlement capabilities offered by financial institutions. Through this initiative, MAS said it will “collaborate with the financial industry to enable settlement in tokenised bank liabilities and well-regulated stablecoins”.
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