Ant International, HSBC, and Swift have completed a Proof of Concept (POC) demonstrating the cross-border transfer of tokenised deposits using ISO 20022 standards.
The initiative connects Swift’s global messaging network with HSBC’s Tokenised Deposit Service and Ant International’s blockchain infrastructure.
The POC represents a step forward in testing how tokenisation can support liquidity management, programmable finance, and round-the-clock settlement.
As part of the trial, Ant International and HSBC linked Ant International’s proprietary blockchain system with Swift’s network.
This enabled real-time treasury movements between HSBC Singapore and HSBC Hong Kong via the Tokenised Deposit Service.
A common protocol was developed jointly with Swift and HSBC.
It streamlines connectivity by reducing the need for separate bilateral arrangements between Ant International and individual banks.
The integration combines the transparency and programmability of tokenised money with established payments infrastructure.
Using Swift’s network adds an additional layer of security and compliance to Ant International’s blockchain-based approach.
Supported by ISO 20022, the system extends HSBC’s anti-money laundering processes, fraud controls, and existing infrastructure into its tokenised deposit offering.
According to the parties, this may help digital money providers adopt ISO 20022 and the Swift framework more easily, facilitating interoperability between tokenised and traditional fiat money.
Shirish Wadivkar, Global Head of Payments and Cash Management at Swift, said:
“We are excited to demonstrate how ISO 20022 data formats, when combined with new technologies like blockchain, bring significant value to the entire community. This integration not only speeds up payment processing but also enhances AML and sanctions screening.”
Lewis Sun, Global Head of Domestic Payments and Emerging Payments, HSBC said,
“By enabling tokenised deposits to move securely and efficiently across borders, we are giving our corporate clients more choice in how they manage liquidity globally; with the familiarity of traditional banking and the benefits of next-generation digital infrastructure.”
The organisations plan to continue exploring pilots and commercial use cases.
Featured image credit: Edited by Fintech News Singapore, based on image by freepik and fullvector via Freepik
