- Swift’s new ledger lets 17 banks test tokenized deposits for cross-border payments.
- The pilot targets overnight and weekend transfers before final settlement on bank rails.
- Swift says 75% of its payments already reach beneficiary banks within 10 minutes.
Swift is moving blockchain closer to the center of global banking as 17 major lenders prepare to pilot tokenized cross-border payments. The Brussels-based financial messaging cooperative said on July 9 that its blockchain ledger has moved from development into initial use.
The pilot will involve banks across six continents, including Citi, HSBC, BNP Paribas, DBS, Standard Chartered, UBS, Wells Fargo, BNY, MUFG Bank, ANZ, and Lloyds Bank. Swift said the first use case will support overnight and weekend fund movements before final settlement through existing systems.
Banks Test Tokenized Deposits For Faster Global Transfers
According to an official report, the ledger is designed to act as a secure orchestration layer between participating banks. It will help coordinate bank-issued tokenized deposits held on each institution’s own ledger.
In simple terms, tokenized deposits represent customer balances in digital form. These balances can move faster across blockchain rails, while banks keep their compliance, credit, risk, and control frameworks in place.
Swift said this structure is meant to improve liquidity management and customer experience without removing banks from the regulated financial system. That makes the project different from some crypto payment networks, which often operate outside traditional bank rails.
Thierry Chilosi, Swift’s Chief Business Officer, said the ledger extends the trust and stability of established finance into digital money. He added that the system is designed to move tokenized value across borders with speed, resilience, security, and compliance.
The move builds on Swift’s March update, when the cooperative said it had completed the design phase for tokenized deposit interoperability. At that stage, Swift was building a minimum viable product to record and validate interbank payment commitments.
Swift Targets Always-On Payments Through Bank-Led Rails
Swift already says 75% of payments on its network reach beneficiary banks within 10 minutes, often within seconds. However, the new ledger targets harder payment gaps, including weekend availability, liquidity efficiency, and broader interoperability.
The launch also comes as global payment infrastructure faces pressure from stablecoins, tokenized cash platforms, and central bank projects. Reuters reported in May that the BIS-backed Project Agorá is also testing tokenized reserves and commercial bank deposits for always-on international payments.
For Swift, the pilot is a test of whether blockchain can strengthen existing finance rather than replace it. Its success will depend on how well banks coordinate liquidity, compliance, settlement, and client demand across multiple markets.
Related: SWIFT Explores Blockchain Settlement, Opens Path to XRP via Thune
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