DBS and Citi Enable 24/7 USD Payments With Tokenized Deposits, Cutting Settlement to Minutes

Key Takeaways:

• DBS and Citi successfully processed a live cross-border USD payment via tokenized deposits over the weekend.
• The transaction closed in minutes, on Swift’s Digital Ledger, rather than the previous processing time of two business days.
• The milestone highlights tokenized bank money’s progress in moving into the real-world institutional payment flows.

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In tokenized USD payments, DBS and Citi successfully completed a cross-border USD payment process using tokenized deposits, which is a significant milestone on the way to always banking. September 5 saw the transaction go through Swift’s Digital Ledger with Singapore and the United States, and the transaction took place over the weekend.

The achievement highlights how blockchain-based infrastructure can help institutions move money across borders without waiting for traditional banking hours.

The payment escalated in just a couple of minutes, which is a big improvement from the traditional cross-border transfer that usually can take 2 business days.

In the case of multinational enterprises, delayed settlements generate liquidity challenges when payments are made at hours when companies are not open, or when they span multiple time zones. DBS and Citi were able to show that the funds can flow around 24/7, including on weekends, by using the tokenized deposits.

Citi said that the successful transaction was an example of how cross-border payments can happen today, rather than a distant vision of the future.

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In contrast to stablecoins, tokenized deposits are a digital form of a commercial bank’s deposit, and therefore part of the regulated banking system.

Through Swift’s Digital Ledger, the transaction was conducted via a new system that combines the capabilities of existing banking networks with current emerging tokenized financial networks. This way banks can use blockchain to settle transactions without compromising on compliance, interoperability or existing banking arrangements.

The development also reflects growing institutional interest in tokenized money. As per DBS, 50% of the finance decision makers are already researching how to adopt tools with blockchain to have better foreign exchange & liquidity management.

Transactions involving ROI payments are still on a fast growth trajectory, especially in Asia. The industry forecast for outbound payments from Asia to cross into other regions is expected to be $24 trillion by 2033, which is almost double the $13.5 trillion experienced in 2025, according to DBS. Financial institutions are seeking infrastructure to facilitate the real-time trancing of capital between jurisdictions, as transactions grow.

The recent payment is part of DBS’ wider digital asset agenda, which encompasses Tokenized solutions for treasury and other related efforts such as the DBS Token Services platform. In addition, it helps cement the concept of tokenized deposits as a possible linkage between the old-fashioned banking system and blockchain-powered finance.

Accessibility of transferring USD funds around the world within minutes, even outside business hours and without leagues across time zones may be one of the most practical use cases for tokenized finance for banks, corporates, and their teams.

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