HSBC, Swift, and Ant International have completed a cross-border pilot to transfer tokenized bank deposits in real time.
The proof of concept leverages ISO 20022 messaging standards, blockchain technology, and HSBC’s Tokenized Deposit Service to enhance transparency and efficiency.
Cross-border tokenized deposits tested in Asia
The initiative tested tokenized deposit transfers between HSBC Singapore and Hong Kong. It aimed to reduce delays, high costs, and limited transparency in international payments. The project integrated Ant International’s blockchain infrastructure with Swift’s messaging network. HSBC’s Tokenized Deposit Service enabled real-time treasury management for corporate clients.
Each token issued by HSBC represents a unit of fiat currency, allowing instant transfers between participating locations. The pilot demonstrated that a common ISO 20022 framework could simplify tokenized deposit access for multinational companies. Ant International can now interact with multiple banks through a standardized protocol, eliminating the need for bilateral agreements.
ISO 20022 modernizes global payments
ISO 20022, in use since 2004, provides structured payment data that improves efficiency and compliance. Adoption has been slow, but the pilot shows how tokenized deposits can benefit from the standard. It reduces intermediaries and enables near-instant settlement while supporting anti-money laundering and sanctions screening frameworks.
Shirish Wadvikar, Swift’s Global Head of Payments and Cash Management, highlighted the potential of ISO 20022 combined with blockchain to deliver seamless global interoperability. HSBC’s Lewis Sun noted that the system offers corporate clients enhanced global liquidity management while maintaining familiar banking processes. Kelvin Li of Ant International emphasized the initiative’s role in standardizing tokenized deposits and improving cross-border payment transparency and security.
Ant International recognized for AI security innovation
In parallel, Ant International recently won the NeurIPS Competition for Fairness in AI Face Detection. The firm developed a model that detects AI-generated face images with a 99.8% accuracy rate. The competition tested fairness across age, gender, and skin tone. Ant International’s technology supports secure identity verification and prevents exploitation by deepfakes.
Dr. Tianyi Zhang, Ant International’s General Manager of Risk Management and Cybersecurity, emphasized the importance of unbiased AI for safe and inclusive financial services. The recognition complements the company’s efforts to drive innovation in tokenized banking and cross-border settlements.
The pilot signals a major step toward a more efficient, transparent, and compliant global banking infrastructure. By combining ISO 20022, blockchain, and tokenized deposits, HSBC, Swift, and Ant International are creating a framework for the next generation of digital payments.
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