DBS launches a blockchain-powered Treasury Tokens pilot with Ant International for 24/7 treasury and liquidity management:
Singaporean bank DBS has launched a pilot of DBS Treasury Tokens, a next-generation treasury and liquidity management solution, in collaboration with fintech firm Ant International. Announced on Tuesday, this initiative allows Ant International to leverage a digital form factor for instant, multi-currency treasury and liquidity management across their entities in multiple markets using DBS’ permissioned blockchain.
The Singaporean bank permissioned blockchain is integrated with Ant International’s Whale platform, enabling seamless intragroup liquidity management on a 24/7 basis, optimizing workflow and visibility. Ant International’s Whale platform, their next-generation treasury management solution, utilizes blockchain technology, advanced encryption, and artificial intelligence to enhance the efficiency and transparency of fund movements between bank accounts.
Kelvin Li, Head of Platform Tech at Ant International, emphasized the significance of this collaboration with Singaporean bank in addressing challenges like reducing costs and transaction risks for cross-border payments. Li highlighted successful use cases of their Whale platform, including instant tax refund services and SME cross-border payments, and expressed a commitment to continuing partnerships and leveraging blockchain technology for more open and inclusive cross-border payments.
The statement noted that large corporations like Ant International, which operate multiple entities across various markets, require efficient management of payments, collections, funding needs, and cash positions across time zones and currencies. DBS Treasury Tokens enable Ant International to reduce the settlement time of intra-group transactions from days to seconds, optimizing liquidity and working capital while providing greater visibility and control over the entire group’s cash position.
Lim Soon Chong, Group Head of Global Transaction Services at Singaporean bank, stated that this new capability addresses the evolving treasury needs of businesses in response to the rise of e-commerce and on-demand services. He added that DBS Treasury Tokens and the partnership with Ant International demonstrate how corporates can confidently scale their liquidity management capabilities in tandem with these opportunities. Singaporean bank’ permissioned blockchain also facilitates new efficiencies and capabilities in traditional banking services, including programmable, fractionalized, and atomic value transfers.
DBS’ permissioned blockchain is Ethereum Virtual Machine (EVM)-compatible and integrated with its core payments engine, enhancing extensibility and interoperability with multiple industry payment infrastructures. The successful launch of DBS Treasury Tokens showcases how established commercial banks and financial institutions can harness blockchain technology and smart contracts to deliver next-generation banking services on a 24/7, atomic, and programmable basis.
DBS Treasury Tokens build upon the bank’s multi-year involvement in the Monetary Authority of Singapore (MAS)-led Project Orchid and Project Guardian, which tested the benefits of tokenization. This solution is among the industry applications tested under Project Guardian. Since 2016, DBS has piloted transactions involving Purpose Bound Money, institutional-grade financial protocols, and atomic settlement use cases with tokenized bank deposits and tokenized securities. Ant International is also actively involved in Project Guardian, having developed a treasury management solution supporting real-time multi-currency clearing and settlement across over 40 currencies.
DBS, a leading financial services group in Asia, operates in 19 markets, with its headquarters in Singapore and a strong presence in Greater China, Southeast Asia, and South Asia.
