Singaporean financial giant DBS has launched a treasury token pilot with Ant International to improve cross-border treasury and liquidity management.
DBS Group has initiated a blockchain-based pilot in collaboration with Ant International in a bid to streamline cross-border treasury and liquidity management.
In an Aug. 13 press release, DBS said that the so-called DBS Treasury Tokens project will leverage its permissioned blockchain — which is compatible with Ethereum‘s EVM — to facilitate multi-currency treasury operations for Ant International, which operates mobile payment service Alipay+.
“This new capability comes at a time when the treasury needs of businesses are evolving to meet the rise of e-commerce and on-demand services on a 24/7 basis.”
Lim Soon Chong, DBS Bank’s group head of global transaction services
Kelvin Li, Ant International’s head of platform technology, noted that the partnership with DBS addresses key challenges, including cost reduction and mitigation of transaction risks in cross-border payments.
The treasury token is expected to enable Ant International, which is an affiliate of Alibaba Group, to optimize its liquidity management across various global markets as DBS says the pilot can reduce the settlement of intra-group transactions “from potentially days to seconds.”
In addition to its tokenization initiatives, DBS is also making strides in the crypto space. In July, the bank became a custodial partner for Paxos, a New York-based stablecoin issuer, while in February, DBS also expanded its services to include crypto offerings for clients in Hong Kong.
