StanChart, HSBC test cross-border payments on Swift blockchain ledger

Standard Chartered and HSBC have completed the first live cross-border transaction on Swift's blockchain-based ledger, a month after the messaging network said the system was ready for initial use.

The deal connected the two banks' separate tokenized deposit systems through Swift's ledger. Payment messages moved between the banks over the ledger, and the resulting obligations were recorded on HSBC's Tokenised Deposit Service and Standard Chartered's own tokenized deposit infrastructure.

Swift's ledger acted as an orchestration layer. It matched and netted the obligations between the banks before final settlement ran through existing payment systems.

The transaction follows Swift's July announcement that its blockchain-based ledger was ready for initial use. Seventeen banks across six continents were preparing to pilot live transactions using tokenized deposits, Swift said at the time. The pilot group includes Citi, BNP Paribas, BNY, Wells Fargo, UBS, MUFG, DBS and ANZ.

The ledger is designed to connect tokenized deposits issued on separate bank infrastructure. It enables 24/7 cross-border payments while keeping existing settlement, compliance and risk controls in place.

Banks have been testing tokenized deposits across institutions and jurisdictions as the focus shifts toward interoperability and round-the-clock settlement.

In November, HSBC said it planned to expand its Tokenised Deposit Service to corporate clients in the U.S. and UAE in the first half of 2026. The service already operates in Hong Kong, Singapore, the UK and Luxembourg. HSBC launched the service in the U.S. in April, offering eligible corporate and institutional clients 24/7 domestic and cross-border transfers using tokenized deposits.

Standard Chartered has also taken part in broader efforts to test tokenized bank money across institutions. In July, it was one of 28 financial institutions and central banks involved in real-value settlement trials under the Bank for International Settlements' Project Agorá. That project settled about $1 million across six currencies using tokenized commercial bank deposits and central bank reserves.

The Clearing House, a payments operator owned by some of America's biggest banks, reportedly plans to launch a tokenized deposit network in the first half of 2027. That network would connect traditional payment rails with digital asset infrastructure for round-the-clock settlement.

For MUFG, the pilot represents another step into tokenized deposit infrastructure. The Japanese financial group has an Alpha Score of 57/100, a Moderate rating from AlphaScala's proprietary scoring system.