DBS, OCBC and UOB have completed live domestic Singapore dollar interbank transactions using tokenised deposits on Swift’s blockchain-based ledger, marking the first time the three Singapore banks have executed live interbank payments using tokenised deposits. The banks announced the transactions on 10 September. joint announcement from DBS, OCBC and UOB

The transactions show how Swift’s new infrastructure can connect separate tokenised-deposit systems without moving the entire settlement process onto a blockchain. Payment messages were exchanged through Swift, while the resulting obligations were recorded on each bank’s own tokenised-deposit infrastructure. Swift’s ledger then matched and netted those obligations before final settlement took place through existing banking systems. the banks’ explanation of how the transactions worked

Tokenised deposits are conventional bank deposits represented digitally using distributed-ledger technology. The banks are testing whether the structure can support payments beyond traditional processing windows. Rachel Chew, chief operating officer and co-head of digital assets at DBS Global Transaction Services, said clients increasingly operate around the clock and “their money should too.”

Swift said in July that its blockchain ledger was ready for initial use, with 17 banks across six continents preparing live tokenised-deposit transactions. The infrastructure is designed to act as an orchestration layer between bank-issued digital money systems while retaining existing compliance, risk controls and settlement infrastructure. Swift’s July ledger announcement

The SGD transactions also follow a live cross-border test completed days earlier by DBS and Citi, which used tokenised deposits on Swift’s ledger for a US dollar payment between Singapore and the United States over a weekend. DBS and Citi’s cross-border USD transaction