What to know:
- SWIFT starts blockchain ledger rollout with 17 banks testing tokenized bank deposits.
- New ledger supports 24/7 cross-border payments while keeping existing bank controls.
- Tokenized finance expands as banks and NYSE build 24/7 digital settlement systems.
SWIFT moved its blockchain-based ledger into initial deployment after nine months of development. Seventeen global banks are preparing to test tokenized deposit payments for round-the-clock cross-border settlement.
According to the July 9 report, SWIFT said HSBC, Citi, BNP Paribas, UBS, ANZ, DBS, and Standard Chartered are among the 17 banks joining the first controlled rollout. The pilot will test how tokenized bank deposits can support international payments inside regulated banking systems.
The ledger has been developed to enable cross-border payments round the clock. This includes weekdays and late-night hours when most traditional channels of settlement tend to be restricted. SWIFT noted that the ledger would maintain the current levels of compliance, credit, risk, and controls requirements.
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What SWIFT Plans After Its Controlled Ledger Launch
The launch has come after months of development and testing. The banks have invested heavily in tokenized deposits in their search for systems capable of processing payments outside regular banking hours.
SWIFT noted that it intends to add more functionalities to the ledger and open it up for usage after the initial launch. The organization referred to the development as an aspect of the broader payment infrastructure and did not consider it a substitute for the current messaging rails.
The network already connects over 11,500 banks and financial institutions. It operates in more than 200 countries and territories. SWIFT noted that 75% of payments through the current network reached the beneficiary banks within ten minutes and sometimes even within seconds.
Thierry Chilosi, chief business officer at SWIFT, referred to the development as an important step towards digital assets regulation. He said that the ledger would allow future innovations such as programmable money and agentic commerce.
“With our new ledger capability, we’re extending the trust and stability of established finance into the frontiers of digital money,” said Thierry Chilosi.
Why Banks Are Building Tokenized Deposit Networks
The development is in line with other blockchain experiments connected with the network. As per reports, a consortium that included BNY Mellon and BNP Paribas conducted the experiment related to transferring part of the core messaging infrastructure to Linea, which is a layer-2 Ethereum network developed by Consensys.
The banking industry is developing its own tokenized deposits infrastructure. JPMorgan Chase, Bank of America, Citibank, Barclays, BNY, and Wells Fargo revealed their plans to launch a network by the first half of 2027.
Clearing House will manage the network and connect the traditional payment systems with digital asset infrastructure to enable 24/7 settlement.
Tokenization efforts have also reached securities markets. In March, the New York Stock Exchange joined forces with Securitize in order to create infrastructure for tokenized stocks and exchange-traded funds.
In January, Intercontinental Exchange, which is the parent company of NYSE, outlined its plans for creating a tokenized securities venue for 24/7 trading, instant settlement, stablecoin funding, and on-chain settlement.
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