Developed with support from the HKMA's DLT Supervisory Incubator, the solution will initially serve Hong Kong corporate clients.
Standard Chartered is bringing tokenized commercial bank deposits into corporate treasury and investment workflows in Hong Kong.
The British multinational bank announced on Monday the launch of its Tokenized Deposits solution, the first offering in its global network that allows eligible clients to transfer deposits across participating banks at any time.
The service runs on Standard Chartered’s proprietary blockchain infrastructure alongside the Hong Kong Monetary Authority’s EnsembleTX platform, developed to provide the infrastructure for banks and industry participants to settle tokenized assets using tokenized deposits.
According to the UK bank, interbank transactions settle in central bank money, including wholesale CBDC, allowing corporate treasurers and financial institutions to use regulated commercial bank deposits in digital treasury and investment operations. The bank said the service could improve interoperability and settlement predictability while lowering counterparty risk.
China AMC, Finloop and PantherTrade have already carried out live tokenized deposit transactions and settlements of tokenized money market funds using EnsembleTX.
Standard Chartered is also collaborating with Fireblocks to embed banking capabilities into its platform and provide access to digital asset businesses, while HashKey has joined the initiative. The lender plans to extend the service to other markets.
