Standard Chartered and HSBC have executed the inaugural tokenised deposit transaction on SWIFT's blockchain-based ledger, according to a report published Monday. The transaction marks the first live use of the infrastructure SWIFT announced in July.
SWIFT's ledger was built to process tokenised cross-border payments and settlements among participating banks. The platform launched with 17 banks committed to pilot the system, including both Standard Chartered and HSBC. The infrastructure sits on a permissioned blockchain rather than a public network, and SWIFT retains control over which institutions can transact.
Tokenised deposits represent digital versions of traditional bank deposits held on a distributed ledger. Banks can issue and redeem them, enabling faster settlement cycles than conventional wire transfers. The mechanism eliminates intermediary correspondent banks in some pathways, compressing settlement time from days to minutes in theory, though no time-savings figures were disclosed for this transaction.
HSBC and Standard Chartered both operate substantial correspondent banking networks across Asia and the Middle East, where cross-border payment delays and costs remain acute. Both banks have invested in blockchain infrastructure separately; Standard Chartered launched its own digital asset platform in 2023, while HSBC has piloted central bank digital currencies and tokenised securities.
SWIFT itself has operated as the global messaging backbone for bank-to-bank transfers for decades. The ledger project represents SWIFT's direct entry into the settlement layer rather than messaging alone. Competitors including Ripple's RippleNet and various stablecoin platforms have pursued similar pathways, though most operate on public or semi-public blockchains rather than SWIFT's permissioned model.
The transaction occurred within weeks of SWIFT's announcement that the ledger was ready for production use. No other live transactions have been reported across the 17-bank pilot group. Standard Chartered and HSBC executed the first live settlement. The lack of disclosed transaction data prevents assessment of volume or frequency.
