Institutional Blockchain Adoption — The Top 30 List of Global Banks on the Forefront

That the blockchain technology is the next frontier in the financial industry is unquestioned. And not many of us have missed financial service executives praising the potentials of blockchain for the future of finance. We have already come across several announcements of financial institutions building solutions, testing tokenised transactions, partnering with other organisations, offering services, launching crypto investment products or taking a strategic stake in Web3 startups. The latest hype has been the issuance and offering of spot Bitcoin ETF’s by several institutions. But we don’t really have a full picture of all those developments.

As a novel infrastructure and marketplace for the future capital markets serving the institutional market, it was important for us to understand what especially global financial leaders have already built in relation to the blockchain technology, which products and service they’re offering in terms of digital assets, and in which ventures they’ve invested so far. But we couldn’t find any comprehensive report or structured source covering the space well enough. So we had to do our own research and collected all the information we found. The more dived in, the more we became impressed of how much, especially the big players in the market, have already progressed.

“Our findings are more than empowering and clearly demonstrates that the commitments of those major banks with a combined value of more than USD 43 Trillion are not just words, but a testament to the massive potential and transition to the blockchain technology, tokenisation and the future of digital assets.”

The focus on blockchain, tokenisation, DeFi and digital investment products by those financial titans underscores a significant ongoing shift in the financial industry. It confirms that these technologies are no longer just experimental concepts, but essential tools for future-proofing financial operations. As these institutions continue to innovate and adapt, it becomes increasingly clear that blockchain and tokenised RWA (Real World Asset) offerings are set to become an integral part to the future of finance, promising unprecedented levels of efficiency, transparency, and accessibility.

Since we thought that the market is missing the massive progress, we decided to publish our findings in a structured way and share it with the public. The result of our investigation is compiled in this article, “Institutional Blockchain Adoption — The Top 30 Global Banks on the Forefront”, sorted according to their total assets and the relevance in terms of blockchain and digital assets initiatives.

At the end we also decided to create a full report out of it with some more deep dive. So this is the first insight articles and we’ll release the full report in a few days. Stay tuned and follow us to not miss it!

Those are the top 30 global banks we’re delving into this article:

We’ve compiled the list with those banks that are already known for their blockchain and crypto investment initiatives, organised it according to the total assets of the institutions by S&P Global, and mixed them also for a more global coverage. We’ve not taken into account the major Chinese Banks, which have the highest total assets, as we didn’t really find them relevant for our research and this list. But we also want to limit a little bit the expectations as this is not a full picture at all, as we couldn’t cover really all projects, developments and investments and we didn’t talk with the banks’ teams as this would take many months more to coordinate and cover. Some projects are also already outdated, defunct or replaced, but we also wanted to cover early initiatives of all those banks.

This list is highlighting the most notable projects, offerings, collaborations and investments those banks did over the years. For an additional deep dive we’ve also added the sources of those findings and some more.

Let’s get into it!

JP Morgan

US — $3'665 Billion

With JP Morgan (JPM) we directly start with one of the most active banks in the space. JPM is leveraging blockchain technology to innovate and transform various aspects of financial services. Even from early on, JPM developed its own blockchain Quorum, which was later sold to Consensys. Through its dedicated blockchain and digital assets platform Onyx, established in 2020, JPM is developing solutions and offering service to reshape the payment and asset management industry. They‘ve already achieved impressive traction focusing on the exchange of value, information, and digital assets. JPM and Onyx also formed strong partnerships and collaborations for remarkable projects in tokenisation of bonds and funds, payments and interoperability, and a number of strategic investments in the space.

Onyx Blockchain by JP Morgan

This division within Onyx is responsible for developing and launching new blockchain applications and technologies on its own Onyx blockchain, pushing the boundaries of what’s possible in the financial sector​ (J.P. Morgan | Official Website)​.

Just recently, Onyx revealed that their Onyx blockchain has already processed more than $1 trillion in notional value and it handles up to $2 billion in transactions daily. The biggest announcement during the “Tokenize This” conference was that JP Morgan plans to open its permissioned blockchain to allow third parties to deploy on it. That will also enable others to tokenise assets on the JP Morgan blockchain (Ledger Insights).

Onyx Digital Assets

This platform enables the tokenisation and exchange of various digital assets. Cornerstone of the tokenisation solution is the TCN (Tokenized Collateral Network). The TCN enables investors to utilise assets as collateral and transfer collateral ownership without moving assets in underlying ledgers. Notably, JP Morgan has used it to execute tokenised collateral transactions, such as using tokenised shares of money market funds as collateral​. As just recently announced, Fidelity International has tokenised a money market fund on the TCN so it can be used as collateral (J.P. Morgan | Official Website)​​ (Coindesk).

JPM Coin Systems

The JPM Coin System facilitates instantaneous cross-border payments using the JPM Coin, which is part of JP Morgan’s broader strategy to develop next-generation payment rails​. The JPM Coin an be understood as a programmable blockchain-based bank account that can serve many use case, even outside of financial services as a project with Siemens shows for programmable payments. The JPM Coin System and the JPM Coin is indeed an extremely valuable use case utilising the capabilities of smart contracts for conditional transactions that will find much more uses cases in the financial market, but also in many other industries for programmable payments. Such as other JPM Coin projects with Vodafone linking IoT devices to make financial transactions or Broadridge’s Distributed Ledger Repo (DLR) platform (CoinDesk)​ (J.P. Morgan | Official Website)​.

Liink by JP Morgan

Liink is an information exchange network that enhances data sharing and payment-related communications between financial institutions. Liink thereby checks information for verification in its network of financial services prior a transaction and therewith automates the processes to reduce complexity and reduce costs​ (J.P. Morgan | Official Website)​.

Tokenised Municipal Bonds

In April 2024, JP Morgan facilitated the issuance of a $10 million municipal bond for the City of Quincy, Massachusetts, using blockchain technology. This issuance aimed to lower costs, enhance liquidity, and reduce settlement times​ (Ledger Insights)​.

Onyx by JP Morgan Plans for Fund Tokenisation

JPMorgan’s Onyx Digital Assets and Apollo conducted a “proof of concept” together with Provenance Blockchain, Axelar, Oasis Pro, LayerZero, Ava Labs, Biconomy and WisdomTree to tokenise funds, manage large-scale client portfolios, execute trades and enable automated portfolio management of tokenised assets. The initiative, part of Singapore’s Monetary Authority Project Guardian, aims to streamline asset management by enabling purchases and rebalancing of tokenised assets across multiple chains and achieve interoperability between them. The project was also discussed during the “Tokenize This” conference in may this year (CoinDesk)​​ (Ledger Insights) (Youtube).

Blackrock Money Market Fund Tokenisation on TCN

BlackRock used the company’s new “Tokenized Collateral Network” (TCN) to tokenise shares in one of its money market funds. It then sent those tokenised interests to Barclays as collateral for an over-the-counter (OTC) derivatives trade between the firms. This is the first collateral settlement for a live client OTC derivative transaction that TCN has facilitated. (Blockworks).

Other notable Collaborations and Partnerships

JP Morgan’s and Onyx progress is truly remarkable and also includes the following collaborations and partnerships:

• Partior Interbanking Network JV: Together with DBS, Temasek Standard Charter (Partior website) (Ledger Insights).
• Versana Syndicated Loan Platform: With Bank of America, Citi, Credit Suisse (now UBS), built on Canton Network (Versana website) (Ledger Insights).
• HQLA-X securities finance and repo solutions platform: Together with HSBC, Deutsche Börse Group, Citi, UBS, BNP Paribas, BNY Mellon, Goldman Sachs, ING, CIBC, Commerzbank (HQLA-X website).
• Investment in Owner: By JP Morgan to build interoperability for tokenised securities and ensure cross-platform liquidity through its open FinP2P protocol (Ownera website).

JP Morgan Innovation Lab

JP Morgan also opened their own innovation lab in Greece in 2022 focusing on blockchain and AI for payments (Ledger Insights).

Consensys acquired JP Morgan’s Quorum Blockchain and JP Morgan Investment in Consensys

JP Morgan made already an early step developing an enterprise-variant of the Ethereum blockchain, which was acquired in 2020 by leading Ethereum development company of Joe Lubin, the co-founder of Ethereum.

In addition to Consensys’ acquisition of Quorum, J.P. Morgan made a strategic investment in Consensys (Consensys).

This has been only an overview of some of activities JP Morgan’s and Onyx blockchain, but here some more sources to discover:

• Cointelegraph — JP Morgan debuts tokenisation platform with Blackrock
• Coinpaper — JP Morgan debuts tokenization in asset management
• Fintech Nexus — JP Morgan Makes Critical Step Towards Tokenization’s “trillion dollar opportunity

Bank of America

US — $3,051 Billion

Bank of America (BofA) has also been already very active in the blockchain and digital asset space, and holds more than 80 blockchain-related patents, which is quite impressive for a bank. BofA is also a notable advocate for the future of tokenisation in asset management, stating that it expects the tokenisation of traditional assets will reshape financial and non-financial infrastructure, and public and private financial markets over the next 5 to 15 years. It also notes that tokenisation is just one of many DLT applications, but could lead to new and more efficient primary and secondary markets for financial and non-financial products. The bank is active in multiple blockchain-related activities and partnerships such as:

Digital Asset Research and Strategy

BofA launched a digital asset research division to explore the broad implications of digital assets across various industries. This division examines how blockchain technology can improve transaction efficiency and reduce friction in financial services​ (Bank of America)​.

Blockchain Patents

Bank of America holds over 80 blockchain-related patents, making it one of the leading financial institutions in terms of blockchain intellectual property. These patents cover a wide range of applications, including private key storage solutions and systems for managing data communication and ensuring data integrity in distributed networks​ (Cointelegraph)​.

Asset Tokenisation Initiatives

BofA’s Global Research department predicts that the tokenisation of traditional assets will reshape financial and non-financial infrastructures over the next decade. This involves using distributed ledger technology (DLT) to create more efficient and transparent systems for managing and transferring assets​ (Bank of America Institute)​.

Paxos Network for Stock Clearing

Bank of America has tested blockchain for stock clearing on the Paxos Network. This initiative is part of an effort to modernise the securities settlement process, reducing settlement times and improving operational efficiencies​ (Decrypt)​.

Spot Bitcoin ETF Offering

The bank has also began offering spot bitcoin exchange-traded funds to eligible wealth management clients, highlighting the growing popularity of the asset class. This is also another notable step of BofA move including crypto investment products directly to its clients (Reuters).

Versana Syndicated Loan Platform

BofA was also one of several major banks like JP Morgan, Citi, Credit Suisse (now UBS) founding the syndicated loan platform built on DAML of the Canton Network Blockchain (Versana website) (Ledger Insights).

Marco Polo Network

BofA was a member of the Marco Polo blockchain trade finance network, which uses R3’s Corda blockchain to enhance transparency and efficiency in trade finance transactions. The network was working with 30 major global banks on solutions such as receivables discounting and payment commitments, aiming to digitise and streamline traditionally paper-based processes. A major deal with BofA fell through early 2023, after which the Irish company had to file for insolvency​ (Ledger Insights)​ (Ledger Insights).

For more information to BofA in blockchain and digital assets, here sources to discover:

• BofA — Transformation Insights
• BofA — Beyond Crypto: Tokenization Report
• Coindesk — BofA Tokenization Is Likely to Transform Infrastructure and Financial Markets

MUFG — Mitsubishi UFJ Financial Group

Japan — $2'968 Billion

MUFG (Mitsubishi UFJ Financial Group) is also already quite active in developing use cases for DLT, focusing on digital assets, stablecoins, and tokenised securities. Starting with the Progmat Coin Platform, MUFG has developed this initiative to a whole network of major Japanese financial institutions, tech companies and a consortium of hundreds of companies working together in a way to build standardisation around Progmat issuing security tokens, stablecoins and utility tokens.

Here are the key blockchain activities of MUFG:

Progmat Coin Platform

MUFG has developed the Progmat Coin platform to facilitate the issuance of stablecoins and digital securities. The platform aims to provide interoperability across multiple blockchain networks, including Ethereum, Avalanche, Cosmos, and Polygon​ (Ledger Insight) (Euromoney).

The Progmat Coin is designed to support stablecoins issued by various trust banks, not just MUFG. Their platform also supports cross-chain transactions, lending, and swaps, ensuring seamless integration across different blockchain networks​ (Ledger Insights)​​.

Progmat Consortium

Initially started by MUFG , Progmat became an own spin-off as a consortium called the Digital Asset Co-Creation Consortium (DACC), together with major Japanese players Mizhuo, Sumitomo Mitsui Trust Bank, SMBC, SBI, JPX, NTT Data, Datachain and an impressive total 228 member companies with a mission to connect society with programmable networks and digitalise all value. So far the consortium has issued more the 200'000 security token units and more than 2'800 utility tokens (Ledger Insights) (Progmat Website).

Stablecoin Issuance

MUFG plans to issue bank-backed stablecoins on public blockchains. This initiative is part of its broader effort to provide a universal digital asset payment method for stablecoins and other crypto assets, potentially including a Japan-based central bank digital currency (CBDC)​ (Cointelegraph)​​ (Cointelegraph)​.

Interoperability and Cross-Chain Settlements

MUFG has partnered with Datachain to develop solutions for blockchain interoperability. This includes enabling the settlement of digital securities using stablecoins across different blockchains, such as R3’s Corda and Ethereum-based GoQuorum​ (Ledger Insights)​.

The bank has successfully completed trials for cross-chain settlements and aims to commercialise these solutions in 2024​ (Ledger Insights)​.

Utility Tokens and NFTs

MUFG has also launched utility tokens on its Progmat platform in collaboration with Tokyo Dome City, offering deeply discounted offers for services like hotel stays and spa visits. These tokens are non-fungible tokens (NFTs) and are part of MUFG’s broader strategy to expand beyond security tokens​ (Ledger Insights)​.

Blockchain-Based Syndicated Loans and Trade Finance

MUFG has been involved in blockchain-based syndicated loan arrangements, such as the €150 million loan for Red Electrica Corporation, which utilised BBVA’s proprietary blockchain platform​ (Mufgmea)​.

Commodity Trade Finance and Participation on the Komgo

MUFG has also is also early started leveraging blockchain in commodity trade finance and joined the Komgo platform, a blockchain-based commodity trade finance platform, aiming to digitalise and optimise trade finance operations​, and has also executed transactions on the platform. (Mufgmea)​.

For more detailed information to MUFG and Progmat, you can visit:

• Progmat
• Cointelegraph on MUFG
• Coingeek

HSBC

UK — $2'864 Billion

HSBC is building its future in digital asset offerings and tokenisation, and even its CEO Noel Quinn is becoming openly bullish on the potential of it. HSBC was also listed at Forbes Top 50 in Blockchain 2023 for its blockchain projects. Just recently he emphasised his and the banks believe in the massive potential of the technology and their commitment beyond the projects as listed below:

Digital Vault and Tokenisation

HSBC utilises R3’s Corda enterprise blockchain on Google Cloud for its Digital Vault platform, which provides custody services for assets issued through private placements, such as equity, debt, and real estate. This move aims to cut onboarding times, reduce costs, and prepare for a future where the full transaction lifecycle can be stored on a distributed ledger (Ledger Insights)​.

Bond Tokenisation Platform Orion

HSBC has developed Orion, a blockchain-based platform aimed at facilitating the issuance, custody, and transfer of digital assets. This platform enhances efficiency and security in the management of securities and other financial instruments. Orion leverages blockchain to streamline processes and reduce operational costs for HSBC’s institutional clients (Ledger Insights).

HSBC has previously run blockchain bond trials. In 2020 it worked with the Singapore Marketnode tokenisation platform to issue a S$400 million bond for agriculture firm Olam and is one of the launch partners together with SGX, Temasek, Barclays, BNP Paribas, BNY Mellon, Citi, Deutsche Bank, HSBC, Orient Securities International, Standard Chartered, Societe Generale and UOB, for the Marketnode solution (Ledger Insights) (Ledger Insights).

Custody of Tokenised Real World Assets

HSBC plans to offer custody services for tokenised real-world assets through a partnership with Metaco, a Swiss digital asset custody technology provider. This service, expected to launch in 2024, aims to store blockchain-based assets, excluding cryptocurrency (CoinDesk)​.

Gold Token for Retail Investors

HSBC launched a gold token aimed at retail investors in Hong Kong, allowing them to invest in physical gold backed by blockchain technology. This initiative marks a significant step in making traditional assets more accessible through digital means (CoinDesk)​.

Blockchain-Based Payments

HSBC has piloted a blockchain-based digital payments platform in Singapore to streamline payments for property developers. This platform aims to automate and digitalise payment workflows, enhancing operational efficiency and transparency (HSBC Singapore)​.

Trade Finance with Contour

The bank also fully commercialised its blockchain trade finance platform, Contour, which facilitates the digitisation of the trade finance process. This platform reduces the time for processing trade finance transactions from days to hours, enhancing the efficiency of global trade (HSBC Business)​​ (HSBC Business)​.

First Blockchain-Based Syndicated Loan

HSBC participated in the world’s first blockchain-based syndicated loan arrangement for Red Electrica Corporation based on BBVA’s proprietary blockchain powered platform. This transaction, conducted alongside BBVA and BNP Paribas, showcased the potential of blockchain to enhance the transparency and efficiency of syndicated loans (Mufgmea)​.

Multi-Currency Digital Bond Offering

Using HSBC Orion, the bank’s leading digital assets platform, HSBC has successfully helped the Hong Kong Monetary Authority (HKMA) complete a HKD6 billion-equivalent digitally native green bond issuance for the Hong Kong government with over 50 global investors (GBM HSBC).

For more detailed insights read also the report of Northern Trust together with HSBC (Northern Trust).

Further sources on HSBC’s blockchain initiatives:

• Be in Crypto — HSBC Digital Asset Strategy
• HSBC — Tokenisation: Driving financial innovation and conservation
• Bitcoin.com — HSBC expands in digital assets offerings
• Blockchain.news — HSBC Letter of Credit Malaysia
• Blockchain.news — We trade
• Blockchain.news — Blockchain Trade between New Zealand and China

BNP Paribas

France — $2'850 Billion

French banking group BNP Paribas has been extremely actively exploring and implementing blockchain technology across various sectors with some major moves, and in particular the tokenisation of asset through multiple projects. It has tested blockchain use cases and how the blockchain technology can process transactions already very early back in 2016, when most people and organisations only just started talking about Bitcoin. Since then, the bank has just strengthened its initiatives and launched many projects successfully such as:

Real-Time Blockchain Payments

BNP Paribas successfully completed its first real-time blockchain payments for clients Amcor and Panini Group already in 2016. These transactions were processed and cleared within minutes, demonstrating the potential of blockchain to eliminate delays, unexpected fees, and processing errors in cross-border payments​ (BNP Paribas)​.

Blockchain Platform for Private Stocks

BNP Paribas Securities Services expanded its blockchain platform to help private companies issue minibonds via crowdfunding platforms. This initiative is in partnership with renewable energy crowdfunding specialists like Lendosphere, Enerfip, and Lumo, ensuring fast, secure, and efficient financial transactions​ (BNP Paribas)​.

Financing for Private Companies

Another early project in collaboration with SmartAngels, BNP Paribas Securities Services launched a blockchain-based platform to allow private companies to issue securities on the primary market and provide investors with access to the secondary market. This platform aimed to accelerate and secure financial transactions using blockchain technology, benefiting both issuers and investors​ (BNP Paribas)​.

End-to-End Fund Transaction Test

BNP Paribas Asset Management successfully conducted a full end-to-end fund transaction test using blockchain. This was achieved through collaboration with Fund Link and FundsDLT, enhancing the efficiency and security of fund transaction processing​ (BNP Paribas)​.

Trade Finance Digitalisation

BNP Paribas has been part of several initiatives to digitalise trade finance using blockchain. For instance, they have been involved in the now insolvent Marco Polo trade finance network, which utilised Corda blockchain to settle digital trade transactions efficiently​ (BNP Paribas)​.

Syndicated Loans with Finastra’s Fusion LenderComm

BNP Paribas, along with other major banks, joined Finastra’s Fusion LenderComm platform in 2019, a blockchain network that facilitates real-time sharing of information about syndicated loans, enhancing efficiency and transparency in the loan market​ (Ledger Insights)​.

Tokenised ESG Bond

In 2022 BNP Paribas structured, tokenised and distributed a bond, the proceeds of which aim at refinancing a solar energy project sponsored by EDF ENR. It enables greater transparency and verifiability of data across the whole value chain, which is key for ESG projects. Both the bond term sheet and ESG data are embedded in the token, representing a strong improvement in terms of verifying investors’ ESG impact (EDF ENR) (BNP Paribas).

SWIFT Blockchain Interoperability Trial

BNP Paribas participated in a SWIFT-led trial using Chainlink’s Cross-Chain Interoperability Protocol (CCIP) together with BNP Paribas, Citi, DTCC to integrate legacy systems with public blockchains. This trial demonstrated the potential for SWIFT’s infrastructure to provide connectivity between traditional financial systems and blockchain networks​ (Ledger Insights)​.

Partnerships with Fireblocks and METACO

BNP Paribas Securities Services is enhancing its digital asset custody capabilities through partnerships with Fireblocks and METACO. These collaborations aim to integrate tokenisation, hot wallets, and connectivity infrastructure, enabling BNP Paribas to support a wide scope of regulated digital assets once regulatory frameworks are in place​ (Ledger Insights)​.

Digital Yuan Wallet Partnership in China

BNP Paribas China, in collaboration with the Bank of China, launched a digital Yuan wallet to support corporate clients for both offline and online payments, contributing to the development of the digital Yuan ecosystem​ (Ledger Insights)​.

Transacting Tokenised Fund Shares with ERGO and MEAG in Germany

BNP Paribas Germany also tested the transaction of tokenised fund shares together with MEAG, a Munich Re company managing € 345 Billion of asset for the German Insurance giants MunichRe and ERGO in 2022, testing the compliance with newly introduced regulation in Germany for electronic securities (eWPG) and for tokenised fund share (KryptoFAV). In addition, the technical solution for maintaining a central register or crypto securities register is an essential component of fundsonchain, which can be managed by custodians outside a central securities depository (CSD) for the first time (BNP Paribas Germany).

Most notable Investments of BNP Paribas:

• Investment in Fnality Series B Round: BNP Paribas participated in a $95 million funding round for Fnality together with many other major global banks, a blockchain wholesale payment and settlement platform designed to enable instant atomic settlement and reduce counterparty risk​ (Ledger Insights)​.
• Investment HQLAX Collateral Platform: BNP Paribas invested in the Series B funding round for HQLAX, a blockchain platform for trading high-quality liquid assets (HQLA). The platform facilitates faster intraday transaction settlements​ (Ledger Insights)​.

Here also some more sources of BNP Paribas on tokenisation:

• BNP Paribas — Tokenisation of Alternative Investment
• BNP Paribas Report — Tokenisation of Alternative Investments
• The Banker — BNP Paribas embraces tokenisation for Project Finance Bonds
• Fireblocks — BNP Paribas Tokenisation Solution

Crédit Agricole

France — $2'542 Billion

Crédit Agricole, the second biggest french bank, is also not far behind BNP Paribas blockchain and digital asset activities and has joined forces with other banks and technology providers leveraging the blockchain technology in various areas of its business. But it has also started its digital asset program together with its Joint Venture Partner Banco Santander and its CACEIS digital asset unit, as well as issued several tokenised bonds and other tokenised asset products.

so|bond Platform

Crédit Agricole CIB, in partnership with SEB, launched the so|bond platform, a public blockchain network aimed at issuing digital bonds. This platform uses the Proof of Climate awaReness protocol to incentivise nodes to minimize their environmental footprint, promoting sustainability. It leverages smart contracts to enhance efficiency, transparency, and operational simplifications in bond issuance and management​ (Ledger Insights)​​ (Ledger Insights)​.

Tokenized Bonds for SMEs

Crédit Agricole Italia, in collaboration with BlockInvest, is developing a tokenized bond solution targeted at SMEs. This initiative, part of the Bank of Italy’s DLT trials, aims to improve the accessibility and efficiency of financial instruments. The project involves accredited investors and focuses on using public blockchains like Ethereum and Polygon for issuing and managing tokenized bonds​ (Ledger Insights)​​ (Ledger Insights)​.

CACEIS Digital Asset Unit

CACEIS, a subsidiary of Crédit Agricole and Santander, has established a business line dedicated to digital assets. It offers digital asset custody, tokenization issuance, and fund distribution services. This initiative enhances their capabilities in managing and securing digital assets, supporting innovations like the digital green bond issuance via the so|bond platform​ (CoinDesk)​​ (Ledger Insights)​.

Interbank Digital Currency Project

Crédit Agricole CIB is part of a consortium with BNP Paribas and Caisse des Dépôts exploring an interbank digital currency for settling security token transactions. This project aims to enable instant atomic settlement and compliance with regulatory standards, leveraging blockchain technology for secure and efficient interbank payments​ (Ledger Insights)​.

Tokenized Non-Performing Loans (NPLs) through BlockInvest

Crédit Agricole Italia-backed BlockInvest is planning to tokenise non-performing loans (NPLs) in partnership with Centotrenta Servicing and Davis & Morgan. This initiative will issue tokenized securities backed by NPLs on the Polygon blockchain, aiming to improve liquidity and efficiency​ (Ledger Insights)​.

Trade Finance Platform

Like many other major global banks, Crédit Agricole joined now defunct Marco Polo in 2019, to solve many of the issues related to trade finance and to replace paper-based processes to reduce transaction time and cost and bring transparency to all trade participants (Crédit Agricole).

Commodities Trade Finance Blockchain Komgo

Crédit Agricole was also one 15 of the world’s largest banking and commodity companies joining Komgo, another project to improve global trade finance, and in particular commodities trading (Credit Agricole) (Ledger Insight).

Here some more information to explore on the activities of Crédit Agricole in the space:

• The Tokenizer — Crédit Agricole Italia and BlockInvest together for the “tokenization” of bonds
• Ledger Insight — Blockchain for Interbank Reconciliations with 32 Banks
• ConsenSys — Komgo Trade Finance

CITI

US — $2'416 Billion

Citi has been one of the most active major US bank, but interestingly not been one of Forbes Blockchain Top 50. With a 100 men-strong team dedicated to digital assets, the bank has projects and solutions ranging from payment service through tokens, FX trading, tokenisation of private markets to custody service for digital assets and even investment in staking service provider as described further here:

Digital Assets Team

Citi is creating a 100-strong team dedicated to digital assets, targeting institutional clients. The team focuses on initiatives such as digital securities, digital currencies, and enterprise DLT. This expansion highlights Citi’s commitment to growing its presence in the digital asset space​ (Ledger Insights)​.

CITI Digital Assets Services

Citi offers dedicated digital assets services to the market, which they formed either through proprietary developments or through partnerships such as:

• Tokenisation of Private Markets Proof of Concept: Citi collaborates with Wellington Management and WisdomTree to explore tokenisation of private markets.
• Citi Token Services for Cash: Creation and testing of Citi Token Services for cash management, which would enable clients to transfer liquidity between Citi branches on a 24/7 basis.
• Citi Token Services for Trade: Creation and testing of Citi Token Services for trade, in partnership with a canal authority, which has demonstrated programmable transfer of tokenised deposits that provided instant payments to service providers via smart contracts.
• Digital Custody and Settlement: First to provide digital custody and settlement services to clients that are participants of BondbloX Bond Exchange (BBX), a fractional bond exchange using distributed ledger technology (DLT).
• Issuing and Paying Agent for Digitally Native Note: Acted as first Issuing and Paying Agent for World Bank on Euroclear’s new Digital Financial Market Infrastructure DLT platform.
• Pricing and Execution of Trades: Developed and tested the use of blockchain infrastructure to price and execute simulated bilateral spot foreign-exchange trades.
• Regulated Liability Network Proof of Concept: Participation in Proof of Concept to explore the feasibility of a shared ledger that enables in an interoperable way the instant transfer and settlement of regulated liabilities, including central bank, commercial bank, and electronic money.

Citi Token Services

Citi has developed Citi Token Services to offer digital asset solutions for cash management and trade finance. This service leverages blockchain and smart contract technologies to provide a fully digital process, enabling instant payments and liquidity transfers between Citi branches globally, significantly reducing transaction processing times​. This development aligns with similar moves by other banks like JP Morgan’s JPM Coin, enhancing global liquidity management for corporate treasurers. (Citi)​​ (Citi)​.

Project Guardian — FX Solution

As part of the Monetary Authority of Singapore’s Project Guardian, Citi trialed an FX solution together with T.Rowe Price and Fidelity International using the Avalanche blockchain. This initiative involved creating a permissioned instance of the Avalanche blockchain to stream FX prices and execute trades in a secure, immutable environment​ (Ledger Insights)​.

Tokenisation of Private Markets together with Wellington and WisdomTree

Citi collaborates with Wellington Management and WisdomTree exploring the tokenisation of private equity funds to offer future services as listed above. A pilot project demonstrated how private assets could be tokenised, enhancing their accessibility and enabling new capabilities through blockchain and smart contracts​ (CoinDesk)​​ (Citi)​.

Digital Asset Custody with Metaco

Citi has partnered with Metaco to develop and pilot digital asset custody services using the Metaco Harmonize platform. This includes custody solutions for cryptocurrencies, digital assets, and DeFi, and the ability to issue and manage tokens​ (Ledger Insights)​​ (Ledger Insights)​.

Citi has made strides in digital asset custody, acting as the first issuing and paying agent for the World Bank on Euroclear’s new distributed ledger technology (DLT) platform. This initiative aims to streamline and secure the issuance and management of digital assets​ (Citi)​.

The bank also provides digital custody services for BondbloX, a platform offering fractionalized bonds using blockchain technology. This enhances accessibility and expands the potential investor base by allowing smaller investments in digital bonds​ (Ledger Insights)​.

Regulated Liability Network (RLN)

Citi conceived the RLN to support central bank liabilities, commercial bank money, and non-bank issuer liabilities on a single DLT network. The initiative aims to facilitate atomic settlement of tokenised assets and promote interoperability across different financial institutions​ (RLN Website) (Ledger Insights)​.

CIDAP Platform

As just recently announced, CITI unveiled its new Citi Integrated Digital Assets Platform (CIDAP) to serve the entire group. Although it is not so much known about the new platform beside it uses the permissioned version of Ethereum’s Hyperledger Besu and that it can also supports other Ethereum and non-Ethereum chains, it can be expected that other services as mentioned above are integrated (Ledger Insights)

Acquisition of SETL by Colendi

SETL, a blockchain firm backed by Citi, was acquired by Colendi. SETL is known for its contributions to the RLN infrastructure and blockchain interoperability solutions. This acquisition aims to bridge internal private blockchains with a public shared environment​. Citi conceived the RLN to support central bank liabilities, commercial bank money, and non-bank issuer liabilities on a single DLT network. The initiative aims to facilitate atomic settlement of tokenised assets and promote interoperability across different financial institutions​ (Ledger Insights)​ (Ledger Insights)​.

Interoperability Development with Axelar

Citi is partnering with blockchain-interoperability protocol Axelar, together with other institutions like Deutsche Bank, Mastercard and Northern Trust (Axelar Website).

Other notable Investments by CITI:

• Investment in xalts: Citi Ventures invested in xalts, a digital asset manager focused on launching ETFs and mutual funds for cryptocurrencies. This move aims to meet the growing appetite for institutional crypto-access investments​ (Ledger Insights)​.
• Backing Elwood Technologies: Citi is an investor in Elwood Technologies, which received UK regulatory approval for its crypto trading platform. Elwood provides institutional access to digital asset liquidity providers​ (Ledger Insights)​.
• Versana Syndicated Loan Platform: Founded together with with Bank of America, Credit Suisse (now UBS) and J.P. Morgan, built on Canton Network (Versana website) (Ledger Insights).
• Investment in Blockchain Infrastructure Provider Blockdaemon: Citi Ventures invested in Blockdaemon, a leading provider of institutional-grade digital asset infrastructure. Blockdaemon helps institutions set up and manage blockchain nodes, providing crucial support for accessing blockchain networks and enabling staking services for more than 60 protocols​ (Citi)​ (Blockdaemon).

For more detailed information of Citi’s activities in the space, you can explore the following additional resources:

• Citi Digital Assets Overview
• Citi’s Tokenisation of Private Markets
• Citi Ventures Investment in Blockdaemon
• Citi — Exploring Tokenization in Private Markets

BNY Mellon

US — $2'000 Billion

BNY Mellon has already built remarkably in the space and was even recognised Forbes’ Blockchain 50 list. BNY Mellon’s CEO Robin Vince has emphasised the importance of digital assets and blockchain technology, comparing its adoption to the historical shift from paper to computers in custodial services. The bank is offering custody for major tokens, tokenisation service, is one of the many big banks building on Canton Network and has partnered and invested in several start-ups in the space. Here some more details and links to their main solutions and projects:

Digital Asset Custody Platform

BNY Mellon launched its Digital Asset Custody platform in the U.S., enabling select clients to hold and transfer Bitcoin and Ether. This platform underscores BNY Mellon’s commitment to supporting digital assets alongside traditional ones​ (CoinDesk)​.

Tokenised Asset Services with Canton Network

BNY Mellon uses the Canton Network to issue and manage tokenised assets, improving the trading and settlement efficiency of digital representations of real-world assets like securities and bonds. The bank also participated in a pilot with 44 other institutions who simulated the use of 22 different DLT applications on the Canton Network. (Ledger Insights)​.

Securities Lending on the HQLAᵡ Platform

BNY Mellon and Goldman Sachs executed their first securities lending transaction on the HQLAᵡ blockchain platform, which tokenises high-quality liquid assets to streamline settlement processes without moving the actual securities​ (Ledger Insights)

Pilot with the Singapore Central Bank for Tokenised Assets

BNY Mellon is participating in tokenisation pilots of the Monetary Authority of Singapore together with other major financial firms JPMorgan and DBS. These pilots aim to explore the use of tokenised deposits, asset-backed securities, and other financial instruments on public blockchains to improve efficiency and transparency in financial services (CoinDesk).

Forbes Blockchain 50

BNY Mellon was recognised in Forbes’ Blockchain 50 list in 2023 for its next to JP Morgan, HSBC, Goldman Sachs, Societe General to mention out of our top 30 list of global banks on the forefront.​ (Forbes’ Blockchain 50) (CoinDesk)​.

Blockchain Innovation Fund in Singapore

BNY Mellon also launched the Blockchain Innovation Fund in Singapore in 2022, managed by its subsidiary Newton Investment Management. The global equity fund invests in companies utilising distributed ledger technology (DLT) across various sectors. The fund aims to capitalise on blockchain’s growth without directly investing in cryptocurrencies, which are associated with higher regulatory risks (Ledger Insights).

Trade Finance

BNY Mellon also joined the now defunct Marco Polo Network to introduce blockchain technology into international trade finance, aimed to digitise the provision of working capital to global suppliers and buyers. This initiative was intended to streamline and improve the efficiency of trade finance processes​ (CoinDesk)​.

BNY Mellon’s Strategic Investments:

• Chainalysis: BNY Mellon invested in Chainalysis, the blockchain analytics firm, to enhance its compliance capabilities for cryptocurrency transactions. Chainalysis helps detect high-risk transaction patterns and provides insights into the source and destination of funds​ (Ledger Insights)​​ (Ledger Insights)​.
• Valkyrie Investments: BNY Mellon participated in an $11 million funding round for Valkyrie Investments, a digital asset manager with a focus on Bitcoin-related ETFs and DeFi hedge funds​ (Ledger Insights)​.
• Talos and Coin Metrics: The bank also invested in Talos, a digital asset trading infrastructure firm, and Coin Metrics, a blockchain data startup, to support the growing digital asset ecosystem​ (Ledger Insights)​.

For more information of BNY Mellon’s projects related to blockchain and digital assets, you can explore the following additional resources:

• BNY Mellon — The Rise of Tokenization
• BNY Mellon — Tokenization: Opening Illiquid Assets to Investors
• Coindesk — Singapore Central Bank Starts Tokenization Pilots Alongside JPMorgan, BNY Mellon, DBS

Wells Fargo

US — $1'881 Billion

Wells Fargo is another of the major US banks that has been already very active exploring use cases, mainly for digital cash and settlements, and it has made already headline for offering Bitcoin and other cryptocurrencies to its high-net-worth client. But so far there seems to be no offering of tokenised assets or service to tokenise assets for clients. Here some of the major projects of Wells Fargo in the space.

Wells Fargo Digital Cash Pilot

Wells Fargo has launched an internal blockchain pilot in 2019 named Wells Fargo Digital Cash. This pilot, operating on a private blockchain network using R3’s Corda technology, aimed to facilitate real-time cross-border settlements within the bank. Initially, focused on transactions in US dollars, with plans to expand to multi-currency transfers. This initiative reflects Wells Fargo’s strategy to enable real-time financial interactions across various accounts and markets globally (Coindesk).

Collaboration with HSBC for FX Settlement

Wells Fargo has partnered with HSBC to use blockchain technology for settling foreign exchange (FX) transactions. This initiative employs Baton Systems’ distributed ledger technology (DLT) to provide real-time transparency and efficiency in FX settlements. The platform enables payment versus payment (PvP) net settlement, reducing settlement risks and associated costs. Initially, this system supports major currencies such as USD, CAD, EUR, and GBP, with plans for further expansion (CityAM) (Wells Fargo Stories).

Collaborate with Mastercard to Test Tokenised Banking Settlements

Another very recent announcement is Wells Fargo’s partnership with Mastercard together with major US banking institutions, including Citi, JPMorgan, Swift, TD Bank N.A., U.S. Bank, USDF, Visa, and Zions Bancorp, to conduct trials of banking settlements using tokenisation (Yahoo finance).

Regulated Liability Network (RLN) Trial

Wells Fargo participated in a successful proof-of-concept trial for the RLN, a project led by the New York Fed and other major financial institutions like Citi. The trial tested commercial bank deposit tokens and a wholesale central bank digital currency (wCBDC) on a shared DLT infrastructure, enhancing cross-border payment speed and transparency (RLN Website) (Ledger Insights).

Cryptocurrency Investment Opportunities

Wells Fargo has also ventured into offering cryptocurrency investment opportunities to its clients. The bank now provides Bitcoin and crypto exposure to its high-net-worth clients through its wealth and investment management division. This service is part of an actively managed Bitcoin and crypto strategy designed for qualified investors. This move aligns with Wells Fargo’s recognition of cryptocurrencies as a viable investment asset, with the potential for growth and portfolio diversification (Nasdaq) (CoinDesk).

Investments in blockchain and digital assets companies

• Talos, an institutional digital asset trading infrastructure, $ 105 Million series B round together with BNY Mellon, Citi, Wells Fargo Strategic Capital and SCB 10X, the subsidiary of Siam Commercial Bank (Ledger Insights).
• OpenRisk Technologies derivative startup, which uses blockchain to manage collateral and liquidity for derivatives traders and commercial loans automation was a notable investment through Wells Fargo’s accelerator program (Ledger Insights).

Banco Santander

Spain — $1'854 Billion

Spanish banking giant Banco Santander has become very active in the blockchain space, investing heavily in new technologies such as DLT with the goal to provide more and better services to its clients globally. But not only that, the bank is also active in solving specific problems in markets like in South America through the use of DLT and tokenisation, as well has started an initiative to identify and support start-ups in the space and seeks to actively partner with them. Notable blockchain initiatives have been:

Partnership with Ripple

Santander partnered with Ripple to improve international payment services. This collaboration led to the creation of One Pay FX, a service that offers faster, cheaper, and more transparent international payments. The partnership has been beneficial in expanding these services to new territories and customer segments, highlighting Santander’s commitment to leveraging blockchain for cross-border transactions​ (Ripple)​​ (Cointelegraph)​.

Blockchain-Based Investor Voting

The bank successfully completed a blockchain-based investor voting pilot, becoming the first company to use blockchain for investor voting at its annual general meeting. This initiative, in partnership with Broadridge Financial Solutions, aimed to enhance the efficiency and transparency of the voting process​ (Cointelegraph)​.

Trade Finance

Santander has been active in blockchain-based payments and trade finance. Through its participation in the we.trade consortium, the bank utilises blockchain’s smart contract capabilities to provide more efficient and cost-effective international trade solutions. This project, built on IBM’s blockchain platform using Hyperledger Fabric, facilitates better cash management, liquidity management, and trading opportunities​ (IBM — United States)​.

Blockchain Identity Project

It is also part of the Dalion project, which involves developing a self-managed digital identity system using blockchain technology. This project, in collaboration with other Spanish companies, aims to improve digital identity management by leveraging blockchain for greater security and efficiency​ (Chain Bulletin)​.

Blockchain-Based Payment Applications

Santander launched a blockchain-based mobile application that allows staff to transfer funds efficiently. This pilot program, uses Ripple’s infrastructure, is set to be expanded to all customers, demonstrating Santander’s proactive approach in adopting blockchain technology for everyday banking services​ (Cointelegraph)​.

Partnership with Agrotoken for Tokenised a Agriculture Commodities

Santander Argentina has partnered with Agrotoken, the creators of crypto-soya (SOYA), crypto-corn (CORA) and crypto-wheat (WHEA), the first grain-backed crypto assets that help to save and to make transactions. The first global experience in backing loans with tokens based on agro-commodities. The bank claims that the product represents a number of milestones, as it is the first time that a global financial services platform connects tokens based on agricultural products to financial products. It is also a new experience using blockchain technology to generate new businesses and make the process more efficient. This is a direct initiative by Ana Botín, the Group executive chairman, focusing on technology to provide more and better services (Santander).

Tokenisation of Real Estate and Vehicle in Brazil

Another notable project is the use of tokenisation to streamline the current bureaucratic process of real estate and vehicle transactions, which it sees as a barrier to negotiations, by using its new solution. The proposed method focused on facilitating the negotiation of ownership titles for real estate and vehicles. It involves payment on delivery, where payment for the property occurs at the same time as the transfer of ownership to the buyer. The bank has also presented the concept of creating vehicle NFTs for transit authorities to register and trade between people, along with the concept of NFTs for real estate (Cointelegraph).

Crypto Trading and Custody

End of 2023, the bank also announced its trading and custody solution for BTC and ETH to its private banking clients, predominantly for Swiss bank accounts and has chosen Swiss Taurus as for its custodian solution (Crypto News)(Coindesk)

Santander X — Global Blockchain Challenge

The bank also initiated a global challenge together with Oxentia Foundation, a spin-off from Oxford University Innovation to identify the most innovative startups and scale-ups with the greatest potential for growth in the use of blockchain technology (Santander X).

For more detailed information about Banco Santander’s blockchain initiatives, you can visit the following sources:

• Banco Santander Blockchain
• Cryptoweekly — Santander Brasil Exploring Usage Of Tokenization Platform

Barclays

UK-$1'824 Billion

Barclays has explored the technology maybe even as one, if not the first major global banks, and implemented blockchain technology to enhance various aspects of its financial services. And as it seems, the main focus so far was more on the aspects of payments, tokenised deposits and trade finance, as well as major partnerships and strategic investments. But the start at Barclays was already 2015, by two own workspace in the city of London.

Blockchain Workspaces in 2015

Barclays has established two blockchain workspaces in London, designed to foster innovation and collaboration within the blockchain community in 2015. These labs were aimed to support web3 entrepreneurs, providing a space to develop and test blockchain applications​ (Finance Mags)​.

Trade Finance Transactions

Barclays conducted its first blockchain-based trade finance transaction using a platform developed by Wave, a startup from Barclays’ blockchain accelerator program. This system enhances the efficiency and security of trade document handling, reducing costs and improving transaction speed​ (Cointelegraph)​.

Partnership with Blackrock for Tokenised Money Market Fund on JP Morgan’s Onyx TCN

Barclays has famously partnered with Blackrock in JPMorgan’s Tokenised Collateral Network (TCN), using blockchain to trade tokenised cash deposits and money market fund shares as collateral for derivatives trades. This initiative aims to reduce operational friction in meeting margin calls and improve market efficiency​ (Blockworks)​​ (CoinDesk)​.

Finteum Blockchain Trials

Barclays participated in trials with the Finteum platform for intraday FX swaps and repo transactions. The platform uses blockchain to optimise liquidity management and reduce costs associated with short-term funding mechanisms, aiming to save millions annually for participating banks​ (Ledger Insights)​.

Strategic Collaborations

Barclays has been involved in various strategic collaborations, including the Utility Settlement Coin project, which connects commercial bank money to central bank money using distributed ledger technology. This venture aims to increase efficiency and reduce risks in wholesale markets​ (Barclays)​​ (FIA)​.

Tokenised Deposits

Another notable project was just recently announced in partnership with another British banking giant Barclays, as well as Citigroup, Mastercard, and Visa piloting tokenised deposits in the UK. This stays also in relation to the initiative Agora of the Bank for International Settlement (BIS), global central banks and private financial entities that aims to study the integration of tokenised commercial bank deposits with central bank money. The success of these initiatives would be a great leap forward for easier and faster transactions across different borders and systems, as well as mitigate the occurrence of error or even fraud. Tokenised deposits are also a different take on the discussion of stablecoins and CBDC’s (Central Bank Digital Currencies, basically eliminating the need of it as well as breaking through the hurdles of on-chain settlement (Coingape)(Coingape).

Investment in Crypto Custodian Copper

Barclays had also been of the backers of Copper’s last series B founding round in summer 2022, which is (or was) also the custodian of choice for several major banks in this list. It was unclear for us, as to how that partnership continues as Copper reported its closing of it enterprise business due to regulatory uncertainty, which also led State Street and other banks to cut ties with Copper. But we couldn’t find a clear confirmation of it (Ledger Insights) (Copper).

Investment in Elwoods

Barclays has also joined in a $70 million funding round in Elwood Technologies, the institutional-grade digital asset platform founded by British hedge fund billionaire Alan Howard (Finextra).

Find out more about Barclays activities in the space:

• Barclays Innovation
• Barclays Rise Report Decrypting Crypto

UBS

Switzerland — $1'680 Billion

The Swiss banking giant, who just fully took over the second Swiss banking giant Credit Suisse, has conducted blockchain research more silently than other major banks but seems to take pace now in the space with several initiatives:

UBS Tokenize

The most notable initiative seems to be a really big one for the bank. Embedded in its investment banking division, it supports opportunities across origination, distribution, and custody, initially focusing on tokenisation of bonds, funds, and structured products, and has done a few of them already successfully in different forms on different global markets.

Tokenised Financial Products

• Blockchain-based Bond on SIX Digital Exchange: UBS was the first commercial bank to issue a digital bond that is listed, traded and settled on a regulated digital exchange. The bank is a member of the SDX alongside three other bank members Credit Suisse, Zürcher Kantonalbank and Berner Kantonalbank and issued the CHF 375 million ($370m), 2.33% three-year unsecured bond back in 2022.
• Blockchain Digital Debt to HNWI in Asia: UBS has launched Hong Kong’s first investment-grade tokenised warrant on the Ethereum blockchain. This tokenised warrant offers improved accessibility, efficiency, and transparency for investors by utilising blockchain technology to automate and streamline processes​ (Crowdfund Insider)​.
• Tokenised Fund Money Market Fund: UBS Asset Management initiated a pilot for a tokenised money market fund, using Ethereum’s blockchain to handle fund subscriptions and redemptions. This is part of UBS’s broader strategy to expand its tokenisation services​ (Markets Media)​.
• UBS distributes first fund issued on iCapital’s: Although iCapital is not leveraging tokenisation, it uses DLT for streamlined processes to reduce the efforts of reconciliation as well as other administrative parts in the fund distribution and lifecycle management (Ledger Insights).

Blockchain-Based Repo Transactions

In collaboration with SBI and DBS, UBS executed the world’s first blockchain-based repo transaction. This pioneering transaction demonstrated the feasibility of instant, automated settlements across multiple jurisdictions using a public distributed ledger technology (DLT) network​ (Fintech News)​.

UBS has also joined Broadridge’s Distributed Ledger Repo (DLR) platform, which aims to transform the repo market by enabling the agreement, execution, and settlement of repo transactions on a decentralised platform. This platform has already processed over $35 billion in average daily volume​ (The TRADE)​.

Strategic Investments and Partnerships

• Partnership with Consensys: UBS has invested in Consensys through its UBS Next initiative, supporting the development of blockchain infrastructure and applications. ConsenSys is a leading blockchain company known for its role in creating Ethereum​ (Crowdfund Insider)​.
• Partnership with FundsDLT: UBS Asset Management collaborated with now Deutsche Börse-owned FundsDLT to explore blockchain-based fund distribution models, focusing on improving the efficiency and transparency of fund transactions​ (FundsDLT)​.
• HQLA-X securities finance and repo solutions platform: Together with HSBC, Deutsche Börse Group, Citi, UBS, BNP Paribas, BNY Mellon, Goldman Sachs, ING, CIBC, Commerzbank (HQLA-X website).

For more detailed information UBS’ blockchain and tokenisation activities, you can explore the following resources:

• UBS Tokenize
• Markets Media

Societe Generale

France — $1'588 Billion

Societe Generale has been actively involved in blockchain and digital assets early on and has notable focussed on digital assets and tokenised bond issuance. Through its subsidiary SG-FORGE, it even already obtained a license as Digital Asset Service Provider (DASP) offers several distinct products as follows:

SG-FORGE

Societe Generale — Forge (SG-Forge) is the dedicated digital asset unit of Societe Generale offering services for issuing and managing financial products on blockchain. Products include CoinVertible stablecoin, digital bonds, and structured products. They prioritise compliance, seamless integration with legacy systems, and multi-protocol blockchain support. Key milestones include issuing the first covered bond as a security token and the first financial transaction settled with a central bank digital currency (SG-Forge).

Regulatory Approval

SG-FORGE is already regulated under MiFID 2 and obtained its regulatory license as a Digital Asset Service Provider (DASP) from the French Financial Markets Authority (AMF). This certification ensures a high level of security and compliance for their digital asset operations, aligning with upcoming European regulations​ (Crowdfund Insider)​.

Digital Green Bond Issuance

Societe Generale issued its first digital green bond as a security token on the Ethereum blockchain in November 2023. This €10 million bond enhances transparency and traceability of ESG data and is aimed at financing green activities. The security tokens have been directly registered by SG-FORGE on the Ethereum public blockchain have been fully subscribed by two top tier institutional investors, AXA Investment Managers and Generali Investments, through a private placement.​ The subscription by those two major insurance companies also demonstrates that such institutional investors are getting ready to transition to tokenised securities (Societe Generale)​​ (CoinDesk)​.

Stablecoin — EUR CoinVertible

Early 2023, SG-FORGE launched EUR CoinVertible, an institutional-grade stablecoin on the Ethereum blockchain. Designed to meet the needs of institutional clients, it offers a secure and transparent settlement asset for on-chain transactions and corporate treasury activities. This stablecoin aims to provide robust liquidity solutions and support the digital asset ecosystem​ and is even listed and traded on Bitstamp as EUROCV (SG Forge) ​(Financial Time).

Offering of DLT-based Funds through Collaboration with IZNES

Societe Generale Securities Services (SGSS) has expanded its offerings to include the distribution of blockchain-based funds, utilising Distributed Ledger Technology (DLT). Through a collaboration with IZNES, SGSS has introduced a model that enhances fund distribution channels by connecting investors and asset management companies directly. This model has enabled real-time transparency in transaction flows and asset tracking on the blockchain, simplifying processes like subscription and redemption management, KYC sharing, and reducing costs and transaction times. This initiative supports SGSS’s goal of increasing operational efficiency in fund distribution and is part of broader market innovations involving blockchain technology (SGSS).

Custody Partnership with Metaco

SG-FORGE has partnered with Metaco to enhance its digital asset custody capabilities. This collaboration allows SG-FORGE to leverage Metaco’s Harmonize platform to manage and secure digital assets, further integrating blockchain technology with traditional financial systems​ (Metaco)​.

Move into DeFi with MakerDAO

Another very interesting move has been the partnership with MakerDAO. Thereby, SG-FORGE has granted a loan to its mother company Societe Generale to refinance covered bonds held by the bank in the form of security tokens issued natively on the Ethereum public blockchain called the OFH tokens. The loan was funded in the crypto market by borrowing DAI stablecoins from MakerDAO, a market-leading DeFi protocol. The OFH tokens were used as loan collateral and pledged by SG-FORGE to the benefit of the MakerDAO protocol (SG-FORGE) (Blockworks).

Previous Tokenisation Initiatives

Since 2019, SG-FORGE has been involved in structuring and issuing security tokens on public blockchains like Ethereum and Tezos. Notable projects include a €100 million digital bond issued by the European Investment Bank (EIB) in 2021​ (Metaco)​.

Venture Investments

Societe General also invested in several blockchain start-ups already early though its venture unit such as:

• R3: SG Ventures arm invested in R3 already early and is therewith one of the total 42 banks backing the blockchain company.
• Komgo: SG joined other 15 major institutional investor in the Komgo project to improve global trade finance, and in particular commodities trading (Komgo Website).

For more information on Societe General and SG FORGE:

• Societe General — Bank of Tomorrow
• SGSS — Interview with David Durouchoux SG FORGE Digital Capital Markets

Goldman Sachs

US — $1'442 Billion

Goldman Sachs has been deeply engaged in blockchain technology, particularly focusing on enhancing financial transactions through various initiatives. The firm is actively building its own infrastructure on the Canton Network, utilizing the DAML programming language, and has also invested in numerous blockchain and digital asset-related startups.

Canton Network Participation

Goldman Sachs, along with other major financial institutions such as BNY Mellon and Microsoft, participated in the Canton Network, a blockchain initiative designed to improve institutional transactions. This network supports tokenised assets, fund registry, digital cash, repo, securities lending, and margin management, enhancing efficiency and transparency in capital markets​ (CoinDesk)​​ (Cryptopolitan)​.

Enterprise Blockchain Testing

In collaboration with BNY Mellon, Goldman Sachs tested enterprise blockchain solutions for tokenised assets. This included over 350 simulated transactions covering various financial operations, showcasing the potential of blockchain to enhance capital market efficiency​ (CoinDesk)​​ (PYMNTS.com)​.

GS DAP

GS DAP is the result of the Canton implementation efforts, which has won the the Digital Banker Award in 2023 by Euromoney for the best tokenisation initiative, providing services for tokenised asset issuance, access to digital asset for investors and services to those issuers and investors (GS DAP) (Euromoney).

EIB Project Venus for Digital Bond Issuance

The European Investment Bank (EIB) launched its first Euro-denominated digital bond on a private blockchain as part of Project Venus. This €100 million two-year bond, issued, recorded, and settled using blockchain technology on GS DAP, marks a significant innovation in digital finance. Goldman Sachs also played a crucial role as the on-chain custodian, alongside Societe Generale and Santander, facilitating the transaction’s blockchain operations and settlement process (EIB) (Ledger Insights)​.

Public Blockchain Integration

Goldman Sachs’ head of digital assets, Mathew McDermott, has emphasised the potential of public blockchains for future financial services, highlighting their regulatory clarity and potential for increased liquidity. While current efforts are focused on permissioned blockchains, there is a clear intention to explore public blockchain opportunities as regulatory environments evolve​ (Blockworks)​.

Multi-Lender Blockchain Projects

Goldman Sachs is involved in multi-lender blockchain projects to facilitate real-world use cases. These projects aim to integrate blockchain technology into traditional financial systems, enhancing the efficiency and security of transactions​ (PYMNTS.com)​​ (Cointelegraph)​.

Digital Assets in GS Marquee

The Goldman Sachs’ digital asset team has also integrated in GS Marquee system providing deep analytical insights in crypto assets collaborating with MSCI and Coin Metrics. The digital assets solution provides not only insights in digital currencies, but also blockchain infrastructure, digital asset products and on-chain derivatives (GS Marquee) (Coindesk).

Investment in Crypto Trading Platform Elwood

Goldman Sachs co-led a $70 million Series A funding round for Elwood Technologies, a crypto trading platform founded by Alan Howard. Elwood provides institutional access to digital assets, including order management and execution. Other investors include Barclays, Galaxy Digital, and Digital Currency Group. The platform aims to simplify institutional crypto trading through a single API for various exchanges. This funding follows Elwood’s integration with Bloomberg AIM and sale of its blockchain equity ETF to focus on its technology platform (FT).

Investment in Fnality

Goldman Sachs was also the lead investor in Fnality to its latest £77.7 Million round back in November 23 together with many others from our list and more, like BNP Paribas, Nomura, Banco Santander, BNY Mellon, Barclays, CIBC, Commerzbank, ING, Lloyds, Nasdaq Ventures, State Street, MSFU and UBS. Most of them already contributed in its first round. Fnality blockchain technology offers a resilient way for institutions to use central bank funds for instantaneous, cross-border, cross-currency peer-to-peer payments, collateral mobility and security transactions, and therewith an institutional blockchain payment rail (Fnality) (Reuters) (Reuters).

For further details to Goldman Sachs blockchain activities and services, you can explore:

• GS DAP
• Goldman Sachs — The Future of Digital Assets
• Digital Asset — Goldman Sachs Customer Story
• Coindesk — Canton Pilot
• Ledger Insights

Deutsche Bank

Germany — $1'429 Billion

Deutsche Bank as the only German bank on the list of top 30, although there are already several banks active in crypto due to Germany’s early favourable regulations allowing banks to offer crypto brokerage and custody services to clients. DB has been actively exploring and implementing blockchain technology through various projects and collaborations as well as to mentioned DS, which was formerly a full subsidiary of DB. Here are some of their key blockchain activities:

Project Guardian for Tokenised Funds with the MAS

Deutsche Bank has joined the Monetary Authority of Singapore’s (MAS) Project Guardian to explore asset tokenisation applications in regulated financial markets. This initiative involves testing an interoperable blockchain platform for tokenised and digital funds, aiming to establish protocol standards and best practices for the industry​ (DB)​.

Project DAMA for Tokenised Funds

Deutsche Bank collaborated with Memento Blockchain on Project DAMA (Digital Assets Management Access), which focuses on creating a decentralised platform for tokenised funds. The project includes features such as non-transferable tokens for digital identity (soulbound tokens), decentralised payment gateways, and smart contracts tailored to specific fund profiles​ (CoinDesk)​​ (Markets Media)​​ (Ledger Insights)​.

Digital Asset Custody and Tokenisation with Taurus

The bank has partnered with Swiss crypto technology firm Taurus to develop digital asset custody services. This collaboration aims to provide a comprehensive solution for digital asset safekeeping and tokenisation, enhancing the bank’s capabilities in managing digital assets​ (The Star)​​ (CoinDesk)​.

Stablecoin Payments via UDPN Blockchain

Deutsche Bank and Standard Chartered’s SC Ventures conducted a proof of concept using the Universal Digital Payments Network (UDPN) for stablecoin payments. This trial involved real-time transfers and swaps of synthetic stablecoins between the banks, highlighting the potential for decentralised identity infrastructure and cross-chain interoperability​ (Ledger Insights)​.

Partnership with Bitpanda for Deposits and Withdrawals

A pretty new partnership has been closed with the prominent Austrian crypto exchange Bitpanda. The bank will work with Bitpanda to process customer deposits and withdrawals for the Austrian crypto broker, but will not be involved in crypto transfers through Bitpanda as reported. But let’s see how that further develops (Reuters) (Bitpanda).

Interoperability Development with Axelar

Deutsche Bank is also partnering with blockchain-interoperability protocol Axelar, together with other institutions like Citi, Mastercard and Northern Trust (Axelar Website).

Interbank Blockchain Collaborations

Deutsche Bank has also joined the Interbank Information Network (IIN) led by JPMorgan, which uses blockchain technology to improve the efficiency and security of global payments by facilitating information exchange between banks (Deutsche Bank).

DWS Blockchain Initiatives

DWS (Deutsche Gesellschaft für Wertpapiersparen mbH) as the former fully owned asset management division with nearly €1 Trillion AuM is also notably becoming increasingly active in the space for digital asset, aiming to become a global leader in tokenised Real World Assets (RWA) and investments funds, and therefore working on several major initiatives in the space such as:

• AllUnity Digital Asset Joint Venture: DWS has partnered with Flow Traders and Galaxy Digital to form AllUnity, a digital assets joint venture. The primary focus of AllUnity is to issue a fully collateralised EUR-denominated stablecoin, aimed at institutional, corporate, and private users. This initiative is set to bridge traditional finance and decentralised finance ecosystems, leveraging regulatory frameworks such as the Markets in Crypto Assets Regulation (MiCAR)​ (DWS Investors)​​ (Ledger Insights)​.
• Xtrackers Crypto ETCs: DWS just recently announced the launched two new Xtrackers Exchange-Traded Commodities (ETCs) in partnership with Galaxy Digital that provide investors with access to Bitcoin and Ethereum. These ETCs offer 1:1 physical backing of the respective cryptocurrencies, facilitating secure and cost-effective exposure to digital assets (Marketsmedia).
• Therefore it has selected Zodia Custody, a leading institution-first digital asset custodian whose shareholders include Standard Chartered, SBI Holdings and Northern Trust, has been selected by DWS Group, one of Europe’s largest asset managers, as a custodian for its crypto exchange-traded products (ETPs) (Ledger Insights).
• Tokenisation of Financial Assets: DWS plans to become a leading player in the tokenisation of real-world assets and investment funds. This involves creating digital representations of traditional assets like stocks, bonds, and real estate on a blockchain, thereby improving market efficiency and accessibility for investors​ (Ledger Insights)​.
• Acquisition Strategies: Following the crypto market downturn, DWS is exploring acquisitions in the digital asset space to capitalise on lower asset prices. Potential targets include Deutsche Digital Assets and Tradias, both of which manage crypto and tokenized assets. These acquisitions would strengthen DWS’s position in the growing market for digital assets and tokenisation​ (Ledger Insights).

For more detailed information of Deutsche Bank’s DLT projects, you can explore:

• Deutsche Bank — Blockchain Interoperability
• Axelar — Internation Interoperability
• Ledger Insight — Zodia Partners with Deutsch Bank’s DWS for crypto ETP custody
• Deutsche Bank Germany (german)

Morgan Stanley

US — $1'180 Billion

Although Morgan Stanley has several activities in blockchain and digital assets, it seems it takes more an active partnership approach working with other major financial institutions and now also going to offer its clients access to Bitcoin funds. The recent investment in Securitize might be also a strategic one to issue own digital assets.

CLSNet for FX Settlements

In collaboration with Goldman Sachs, Morgan Stanley has implemented CLSNet, a blockchain-powered payment netting service for foreign exchange (FX) settlements. This platform, developed by CLS and IBM, aims to reduce post-trade risk, improve intraday liquidity, and enhance operational efficiencies in FX trading​ (Home of FinTech & Banking News)​.

Blockchain-Based Payment Software

Morgan Stanley has adopted blockchain technology for its payment operations. The bank has gone live with new blockchain-based payment software, which aims to streamline processes and reduce costs associated with traditional financial systems​ (Home of FinTech & Banking News)​.

Commitment to Blockchain Innovation

Morgan Stanley continues to explore the potential of blockchain technology through various initiatives and partnerships. The bank’s engagement in blockchain is part of its broader strategy to innovate and improve financial services for its clients by leveraging emerging technologies​ (Morgan Stanley)​.

Investment in Securitize

Morgan Stanley led a $48 million Series B funding round for Securitize, a blockchain company that facilitates the issuance of digital asset securities. This investment highlights Morgan Stanley’s commitment to the growth and adoption of digital asset securities. Securitise allows private companies to raise capital using its blockchain-based platform, broadening access to private market investments​ (Blockworks)​​ (Decrypt)​.

Investment in Staking Infrastructure Provider Figment

Morgan Stanley also participated in the series C founding round of Figment, a Canadian-based staking infrastructure provider, through its Counterpoint Global investment fund. Figment runs validators on more than 50 blockchains. (theBlock).

Bitcoin Funds for Wealthy Clients

Morgan Stanley is also set to launch Bitcoin funds for its wealthy clients, partnering with Galaxy Digital and FS Investments. The initiative targets clients with at least $2 million in assets, offering them exposure to Bitcoin through two distinct funds: the Galaxy Bitcoin Fund LP and the FS NYDIG Select Fund. This move reflects increasing demand for cryptocurrency investments among high-net-worth individuals and marks a significant step by a major financial institution in embracing digital assets (Blockworks).

For further details, you can visit sources like:

• Morgan Stanley De-Dollarization
• Morgan Stanley — The Case for Cryptocurrency

Lloyds Bank

UK — $1'057 Billion

Lloyds Bank’s digital asset activities are in particular in digitising trade finance leveraging DLT, but is expected to take more pace in the future leveraging the blockchain and working on digital asset products.

Trade Finance Partnership with WaveBL

Lloyds Bank has partnered with WaveBL, a blockchain-based electronic trade documentation platform. This collaboration allows the bank’s clients to utilise electronic Bills of Lading (eBLs), significantly reducing the time required for processing from days to just hours. This initiative aims to enhance efficiency, security, and reduce the risk of document forgery or loss in international trade​ (Lloyds Bank)​​ (Home of FinTech & Banking News)​.

Trade Digitisation with Enigio

In a long-term partnership with Enigio, Lloyds Bank is expanding the use of Enigio’s trace technology for digital trade documentation. This technology supports the digitisation of promissory notes and other trade finance products, aiming to streamline and secure trade finance operations​ (Lloyds Bank)​ (CargoX).

Participation in UK Regulated Liability Network (RLN)

Lloyds is also invloved in the UK Regulated Liability Network (RLN), experimenting with a retail digital pound backed by tokenised deposits, involving major banks like HSBC, and Barclays in the UK. This initiative aims to enhance interbank payments and digital assets using blockchain technology, ensuring the programmability and uniformity of money (Ledger Insights).

Commodities Trade Finance through Komgo Blockchain Consortium

Lloyds Bank already in 2019 joined the Komgo blockchain consortium, which focuses on digitising and streamlining commodity trade finance processes. The Komgo platform, based on JP Morgan’s Quorum blockchain, helps tackle fraud, increase efficiency, and manage Know Your Customer (KYC) compliance in a secure and decentralised manner. This partnership aims to reduce the cumbersome nature of international trade, making it faster and more efficient for commodities clients​ (Cointelegraph)​​ (Ledger Insights)​.

Investment in DLT Real Estate Firm Coadjute

Lloyds, NatWest, and Nationwide have invested £10 million in Coadjute, a DLT startup focused on real estate. This funding round supports Coadjute’s blockchain platform, which aims to streamline property transactions by enabling seamless communication and data sharing among all parties involved. The investment will help in expanding the platform’s functionality and national rollout. Coadjute’s solution enhances transparency, reduces delays, and simplifies the home-buying process, leveraging R3’s Corda blockchain for secure and efficient operations (Ledger Insights).

Investment in Fnality

Lloyds bank was also one of the many investors in Fnality. A blockchain technology that offers a resilient way for institutions to use central bank funds for instantaneous, cross-border, cross-currency peer-to-peer payments, collateral mobility and security transactions, and therewith an institutional blockchain payment rail that could be material to the future interoperability of securities payment and settlement (Fnality) (Reuters) (Reuters).

For more detailed information, you can explore the original articles on:

• Lloyds Banking Group
• FinTech Magazine

ING

The Netherlands — $1,034 Billion

ING has been actively integrating blockchain technology into various aspects of its operations, focusing on improving efficiency, security, and transparency in financial transactions. Here are some key initiatives:

Trade Finance Transactions with HSBC

ING has successfully completed live trade finance transactions on the R3 Corda platform in collaboration with HSBC. These transactions demonstrate the practical application of blockchain in facilitating secure and efficient international trade deals​ (Global Trade Review (GTR))​​ (ING)​.

Bulletproofs and Zero-Knowledge Proofs

ING has developed and released cryptographic solutions such as bulletproofs, zero-knowledge range proof (ZKRP), and zero-knowledge set membership (ZKSM). These innovations aim to enhance data privacy and security within distributed ledger environments​ (ING Wholesale Banking)​.

Energy Commodities Trading Platform

Already in 2017, ING has joined forces with ABN Amro and Society Generale and energy companies to create a blockchain-based digital platform for the energy commodities sector. This initiative seeks to modernise and transform energy commodities trading by leveraging blockchain technology​ (ING)​.

Securitities Lending through Investment in HQLAx

ING has made a strategic investment in HQLAx, a blockchain-based securities lending platform. This investment builds on ING’s previous involvement, where its blockchain team helped develop the initial version of the HQLAx application. HQLAx leverages distributed ledger technology (DLT) on R3’s Corda platform to enable efficient and secure collateral swaps without the need for physical movement of securities.

The platform enhances collateral fluidity by creating digital collateral records that represent ownership stakes in baskets of securities, facilitating easier and faster transfers between custody accounts. ING, along with other major financial institutions like Commerzbank, Credit Suisse, and UBS, has already executed live transactions on the platform (ING).

Commodities Trade Finance through Komgo Platform

As other institutions with strong activity in global trade finance, as just mentioned Lloyds Bank, ING is a founding member of Komgo, a blockchain-based trade finance platform aimed at digitising and streamlining the commodity trade finance process. This platform enhances efficiency by enabling secure and automated data exchanges for letters of credit, KYC management, and receivables discounting. Komgo is supported by major players in the commodity sector, including Shell and MUFG​ (ING)​​ (Ledger Insights)​.

Trade Finance through Contour Platform

ING co-founded the Contour blockchain trade finance platform, which was officially launched in Singapore. Contour focuses on digitising letters of credit, reducing processing time from five to ten days to under 24 hours. This platform is designed to enhance the efficiency and security of global trade finance​ (ING)​.

For more detailed information, you can explore the following sources:

• Blockchainwelt
• Global Custodian

NatWest Group

UK — $867 Billion

NatWest is becoming increasingly serious on it blockchain and digital assets activities with a dedicated team for digital assets and has even started to provide insights and educational material to its clients to educated them about the possibilities and potentials. Beside industry-common projects related to on-chain settlement, NatWest has ventured into very interesting offerings like carbon credit and rates-related products.

Digital Capital Markets Team

NatWest has established a dedicated digital team within its capital markets business, to enhance its blockchain strategy. The team focuses on delivering credit and rates products through digital channels and currencies, leveraging distributed ledger technology (DLT) to increase transparency, reduce costs, and improve execution speed and capital efficiency​ (Ledger Insights)​​ (CityAM)​.

Project Carbon — Carbon Credits Marketplace

NatWest, in partnership with CIBC, NAB, and Itaú Unibanco, launched Project Carbon, a voluntary carbon marketplace. This initiative aims to create a transparent and efficient marketplace for carbon credits using blockchain technology to ensure full traceability and prevent double counting. This project supports clients in achieving their net-zero carbon goals by 2050​ (Ledger Insights)​.

Blockchain Settlement Tests

NatWest has participated in blockchain settlement tests with UK fintechs, Banco Santander and Fnality. These tests involved the issuance of tokenised securities on a public blockchain, exploring the potential of blockchain technology to improve settlement efficiency and transparency​ using Fnality (Fintech Futures)​.

Investment in in DLT Real Estate Firm Coadjute

NatWest is also an investor together with Lloyds and Nationwide Coadjute, the DLT startup focused on real estate aiming to streamline property transactions by enabling seamless communication and data sharing among all parties involved. The solution that aims to enhance transparency, reduces delays, and simplifying the home-buying process, through its R3’s Corda-based blockchain (Ledger Insights).

Exploration of a Digital Pound

The chairman of NatWest in 2021 discussed the potential for piloting a central bank digital currency (CBDC) in the UK as a digital Pound within a few years. This initiative reflects the bank’s proactive stance on exploring new forms of digital money and its implications for the banking sector​ (Ledger Insights)​.

Historical Involvement in Blockchain

Historically, NatWest has been involved in various blockchain initiatives, such as integrating with Finastra’s Fusion LenderComm for syndicated lending and participating in intraday FX trials with Finteum. These efforts demonstrate NatWest’s long-term commitment to exploring blockchain applications in financial services​ (Ledger Insights)​.

Digital Asset Insights

NatWest provides insights and educational resources on digital assets, including central bank digital currencies (CBDCs) and tokenised securities. The bank’s focus is on helping clients understand the benefits and risks of these innovations and preparing for the digital future of financial markets​ (NatWest Online)​.

For further details, you can visit:

• NatWest Digital Assets Hub

Standard Charter

US — $820 Billion

Standard Chartered is another major US bank that is very actitve involved in several blockchain initiatives like stablecoins and tokenised deposits, tokenisation platform, tokenised bond, tokenised ABS, trade finance and settlement or a carbon market place through the bank and its venture arm SC Ventures. The bank has just recently also announced its own crypto trading desk in its London bank. Especially with its venture investments of SC Ventures, Standard Chartered is building and testing promising use cases such as:

Multi-Token Network with Mastercard

Standard Chartered collaborated with Mastercard on the Multi-Token Network (MTN) to develop real-world applications that reshape consumer and business transactions. MTN was built on SC Ventures incubated Libeara. It was just announced that Mastercard has executed its first live test of the (MTN) involving tokenised deposits and tokenised assets in collaboration with Standard Chartered Bank Hong Kong (SCBHK) and subsidiaries. MTN was used to tokenise the deposit and execute an atomic swap between the tokenised deposit and the carbon credit bought by Standard Chartered’s Hong Kong digital bank, Mox Bank. (Ledger Insights)​.

Libeara Tokenisation Platform

SC Ventures, the innovation arm of Standard Chartered, launched Libeara, a tokenisation platform that democratises investments by creating accessible, transparent, and secure markets. Libeara allows for the issuance of tokenised government bonds, fund units, and other securities, enabling investors to manage their tokens through secure digital wallets​ (SC Ventures | Standard Chartered Bank)​​ (Ledger Insights)​.

Stablecoin Payment Partnership with Deutsche Bank

In a collaborative effort between Standard Chartered’s SC Ventures and Deutsche Bank, stablecoin payments were executed using the UDPN blockchain platform. This Proof of Concept (PoC) trial involved real-time transfers and swaps of synthetic USDC and EURS (Stasis Euro stablecoin) between the two banks. SC Ventures utilised code leveraging UDPN SDKs and APIs for these transactions, while Deutsche Bank used a graphical user interface. This initiative not only demonstrated the feasibility of decentralised financial transactions but also highlighted the potential for cross-chain interoperability in financial services​ (Digital Pound Foundation)​.

Tokenisation of Asset-Backed Securities in Singapore’s Project Guardian

Standard Chartered participated in trials to explore the tokenisation of asset-backed securities (ABS) on public blockchains as another use case of the MAS project Guardian. This particular use case is testing a tokenised ABS, where the asset is a trade finance portfolio from the LinkLogis trade finance platform. The issuance on the Ethereum network is listed on SGX as part of the digital bond sandbox. The aim was to improve the efficiency of asset management and expand investor participation by offering digitally native products on regulated platforms, such as the Singapore Exchange, within a digital bond sandbox environment​ (Ledger Insights)​.

Tokenised Bond Issuance with UnionBank of the Philippines

Standard Chartered collaborated with UnionBank on a project to tokenise bonds. Union Bank of the Philippines and Standard Chartered Ventures said they co-created a blockchain platform for retail bond issuance. It was used as part of a proof of concept to tokenise PHP 9 billion ($190 million) of bonds issued by UnionBank. To comply with retail bond guidelines, the tokens mirrored a traditional transaction, and the tokens were not allocated directly to investors. This proof of concept made the bond buying and selling process completely paperless and more accessible to retail investors, allowing them to interact directly with issuers and benefit fully from their investments​ (Ledger Insights)​.

Blockchain Trade Finance Initiatives

Standard Chartered has collaborated in 2020 with Ant Group to complete the first live transaction on Trusple, a blockchain-enabled trade finance platform. This platform aims to improve access to trade finance for buyers and sellers by leveraging blockchain technology to streamline and secure transactions​ (Standard Chartered)​.

Standard Chartered Crypto Trading Desk

As just announced, Standard Chartered is launching a spot crypto trading desk for Bitcoin and Ether in London as part of their FX trading desk. Although the Basel regime for cryptocurrencies imposes a heavy risk weighting of 1250%, the bank has worked with regulators to meet certain criteria in order to qualify for hedging, which make it now possible with the launch of ETF or ETN listed on a regulated exchange last month make this step now possible (Bloomberg) (Ledger Insights).

Blockchain-based Carbon Market

Standard Chartered, along with BNP Paribas and UBS, has joined Carbonplace, a blockchain-based platform aimed at enhancing the transparency and efficiency of the voluntary carbon market. The platform is designed to address issues such as double counting and lack of transparency by providing full traceability of carbon credit transactions. Standard Chartered’s involvement in Carbonplace highlights its commitment to supporting sustainable business practices and climate goals under the Paris Agreement, facilitating easier access to quality carbon offset projects globally (Ledger Insights).

Interbank Settlement through Investment in Partior

Standard Chartered has invested in Partior, a blockchain-based interbank settlement platform developed in collaboration with JP Morgan and DBS Bank. This platform aims to revolutionise cross-border payments by ensuring near-instantaneous settlements and reducing operational costs​ (Coindesk) (Partior).

Blockchain and Digital Assets Investments by SC Ventures:

• Investment in Zodia Custody and Zodia Markets: SC Ventures has invested in Zodia Custody, which offers institutional custody services as well as staking to institutions like NAB, DWS, 21 Shares, etc.
• Investment in Zodia Markets: SC Ventures also took a stake into Zodia Markets, an institutional crypto OTC trading platform, which is basically a joint venture by Standard Chartered and OSL (Ledger Insights)​.
• Investment in SWIAT: SC Ventures has also invested in SWIAT alongside with LBBW to further . Originally established by Germany’s DekaBank, SWIAT aims to serve as a secure platform for interbank asset transfers, resembling a SWIFT for digital assets to facilitate the settlement of tokenised securities (Ledger Insights).
• Blockchain Venture with Linklogis: Through SC Ventures, Standard Chartered launched Olea, a joint venture with Linklogis, to reinvent trade finance by matching investors with supply chain financing needs using blockchain for transparency and reduced credit risk​ (Ledger Insights)​.

Early Partnership with Siemens Financial Services to Build an own Blockchain for Trade Finance

The bank has early partnered Siemens Financial Services (SFS), TradeIX and with R3 to utilise the Corda blockchain platform for various financial solutions, including a trade finance platform that aims to digitise and automate processes for greater efficiency and transparency as well asa blockchain-based smart guarantees platform. But it is unknown how far that project went​ (Blockonomi)​.

Public Blockchain Adoption

SC Ventures supports the use of public blockchains, emphasising their potential to encourage broader participation and innovation in the financial ecosystem. This approach aligns with Standard Chartered’s strategy to utilise existing public infrastructure for greater scalability and openness​ (Ledger Insights)​.

For more details, you can explore sources such as:

• Standard Chartered — Taking advantage of tokenisation: A corporate roadmap for 2024
• SC Ventures

BBVA

Spain — $762 Billion

BBVA, the second biggest Spanish bank with a global footprint is already well-known for its innovative strengths on a global and on a local level. It possesses a strong blockchain activity in its Spanish headquarter in Madrid as well as across the world such as in particular in Switzerland, Turkey, Mexico and Columbia.

Tokenised Global Mobile Payments Platform

BBVA has already launched platform to enable secure mobile payments in all countries it operates in 2019. The platform connects to Visa and Mastercard directly from each country’s application enabling new payment experiences owing to the payment tokenisation. It utilises the blockchain technology to enhance security and transparency and supports multiple currencies, aiming to streamline international payments for BBVA’s clients, offering faster and more cost-effective solutions compared to traditional methods (Finextra).

BBVA Green Bond Token

The Spanish banks and Spanish insurance company Mapfre partnered already in 2019 in the issuance of a pioneering tokenised sustainable bond, which has currently at a market cap of $37 Million (Security Token Market)(BBVA).

Crypto Custody Services

Another major step for BBVA has been marked through its Swiss private banking division with migrating on Metaco’s Harmonize platform. The platform is fully integrated as a software as a service (SaaS) on Avaloq’s Crypto Assets platform and Core Banking system, which ensures compliance with the highest regulatory requirements in terms of security and privacy. This move aims to improve agility and security in transaction validation and expand services to potentially include other crypto assets and the tokenisation of traditional assets​ (BBVA) (Cointelegraph)​.

Garanti BBVA Blockchain Innovations

Interestingly, BBVA seems to use its Turkish subsidiary Garanti BBVA to push blockchain innovations with several initiatives.

• Garanti BBVA’s independent company currently provides pioneering trading, storage and transfer services for a variety of cryptocurrencies, including bitcoin (BTC), Ethereum (ETH) and USD Coin (USDC), and plans to continue to add new assets to its platform following a comprehensive security review every month.
• Garanti BBVA Digital Assets, the first initiative of Garanti BBVA Financial Technologies Inc. is also offering crypto wallet service on its mobile platform.
• Garanti BBVA Crypto’ was recently presented the award for ‘Pioneers of Digital Finance’ by KPMG Turkey and the Financial Innovation and Technology Association (FINTR)(Garanti BBVA)

Blockchain Loan Platform

BBVA’s blockchain loan platform, which uses both Hyperledger Fabric and Ethereum, has won banking technology innovation awards. This platform offers transparency and traceability in the negotiation process for corporate loans, enabling real-time monitoring and recording of all deal-related data​ (Ledger Insights)​.

International Trade Transactions

BBVA is using blockchain to streamline international trade transactions. Collaborating with Wave, BBVA has launched a blockchain-based pilot program to automate document presentation in import-export operations, significantly reducing transaction times​ (Finance Mags)​.

European Investment Bank Loan Securitisation

BBVA has utilised blockchain technology to securitise loans for the European Investment Bank (EIB). This blockchain-based deal allows for favourable financing terms and enhanced transparency in the negotiation and execution processes​ (Ledger Insights)​.

Interbank Crypto Platform RULEMATCH

BBVA has gone live on the RULEMATCH platform, which targets institutional crypto trading. This platform supports trading of Bitcoin and Ethereum against traditional currencies and aims to provide institutional-grade liquidity and regulatory compliance​ (Ledger Insights)​.

Syndicated Loan on Blockchain

In collaboration with MUFG and BNP Paribas, BBVA completed the first successful syndicated loan using blockchain technology for Red Electrica, a Spanish grid operator. This $150 million loan demonstrates the potential of blockchain in enhancing the efficiency and security of syndicated loan arrangements​ (ABFJournal)​.

BBVA Mexico Blockchain Web3 Fund

The asset management division of the Mexican branch of the bank has launched its first investment fund in 2022 that targets blockchain and the digital economy and is available to any type of investor. The massive asset manager with a market share of 22% in Mexico invests in fintech, web3 — including blockchain and the metaverse, and tokens with its fund. The latter will include non-fungible tokens (NFTs), tokenised real estate and crypto (Ledger Insights) (BBVA Mexico).

Forbes Blockchain Top 50 for first Blockchain-based Syndicated Loan

BBVA can clearly be seen as a real innovator in the space and has been on the Forbes Blockchain Top 50 list already in 2019, for its first blockchain-based syndicated loan, a $170 million deal for Red Eléctrica Corporación, Spain’s electrical grid operator (Forbes).

Identity Projects

Next to blockchain-based payment and investment product, it also engages in blockchain-based identity solutions we didn’t further consider in this article as the focus is more on institutional adoption for tokenised investment products and it’s infrastructure. Especially in markets like in South America where BBVA has a strong footprint, identity has a higher priority than in European and the US market.

Here some additional links to BBVA’s identity initiatives:

• BBVA
• Identityweek
• BBVA on Identity with Blockchain 2016!
• BBVA on Blockchain
• BBVA on Tokenisation
• Ledger Insights BBVA

NAB — National Australian Banks

Australia — $680 Billion

National Australia Bank (NAB), Australia’s biggest bank has also taken quite comprehensive steps utilising the blockchain in several fields. Most notably it has developed a stablecoin pegged to the Australian dollar, aimed to facilitate cross-border transactions and for the settlement of tokenised transactions. But as just reported it has shuttered the project and so far no reason is known.

Stablecoin Launch and Cross-Border Transactions

NAB issued a stablecoin called AUDN, pegged to the Australian dollar, to facilitate real-time cross-border transactions and carbon credit trading. This stablecoin is more like a tokenised deposit and was deployed on the Ethereum blockchain, used for a successful pilot transaction involving multiple currencies, including AUD, USD, EUR, JPY, and GBP. This initiative marks a significant step in leveraging blockchain for efficient and transparent financial operations​. (NAB News)​​ (Cointelegraph)​​ (Cointelegraph)​.

However, the project has been shuttered as reported during we’ve been delved into the details of NAB’s blockchain-related activities. Interestingly, the in-house team of NAB has left the bank o create a new, digital version of the Australian dollar, to be called Ubiquity and join ANZ, which has also built its own digital Australian dollar A$DC as well as Novatti, an Australian digital payment solution provider, with its AUDD, as also reported by Australian Financial Review. Might be the right move to consolidate those activities. But will be for sure interesting how that further develops. (Ledger Insights) (Australian Financial Review)

Partnerships for Blockchain Infrastructure

NAB partnered with Fireblocks and BlockFold to develop and deploy its stablecoins, utilising their expertise in smart contract creation, secure minting, and custody management. This collaboration underscores NAB’s commitment to integrating blockchain technology into its financial services​ (NAB News)​​ (Ledger Insights)​.

Carbon Credit Settlement

NAB launched a stablecoin specifically designed for carbon credit settlements. This stablecoin aims to streamline and secure the trading of carbon credits, contributing to more efficient and transparent environmental finance solutions​ (Ledger Insights)​.

Trade Finance

NAB became the first Australian bank to join the Marco Polo blockchain trade finance network, which is out of operations now. ​It’s now questionable if and how NAB is continuing leveraging blockchain for trade finance (Ledger Insights)​.

For more detailed information, you can refer to sources like

• NAB News
• CoinDesk
• Ledger Insights

ANZ

Australia — $670 Billion

ANZ (Australian and New Zealand Banking Group), is the other major bank from Down Under the has been actively engaged in blockchain technology through several key initiatives, focusing on payments, cross-border and trade finance settlement, as well as digitised bank guarantees on the blockchain:

Cross-Blockchain Settlements with Chainlink

ANZ has partnered with Chainlink and Avalanche to facilitate cross-chain settlements using Chainlink’s Cross-Chain Interoperability Protocol (CCIP). This project aims to enable secure and efficient transactions across multiple blockchain networks, demonstrating the potential of blockchain to enhance asset settlements and reduce operational complexities​ (BlockNews.com — CRYPTO NFT NEWS)​​ (Blockworks) (Avalanche)​.

Stablecoin Initiatives

ANZ issued the A$DC stablecoin, marking the first Australian dollar stablecoin payment by an Australian bank. This stablecoin was used in transactions involving digital asset exchanges and is seen as a significant step towards integrating blockchain into mainstream financial services. The stablecoin is intended for use in various applications, including carbon credit trading and international remittances​ (ANZ Media Centre)​​ (Cointelegraph)​.

ANZ Tokenised Carbon Credits

One of the use cases ANZ sees a big potential leveraging its stablecoin initiative is the tokenisation of carbon credits. Therefore it has with Grollo Carbon Ventures (GCV) to successfully trade Australian Carbon Credit Units (ACCUs). For this use-case, ANZ and GCV sought to test tokenisation of real-world, nature based assets, starting with ACCUs. To do this, ANZ tokenised existing ACCUs and issued its stablecoin, A$DC, enabling GCV to purchase tokenised ACCUs with settlement occurring in near real-time via ANZ smart contracts. The test was carried out using Chainlink’s Cross-Chain Interoperability Protocol (CCIP), together with Swift, which is a special partner for CCIP. The aim was to verify the reliability and security of real-world tokenised asset transactions between open and private blockchains. (IT News) (ANZ) (Cryptotribune) (Swift)

Already in 2022, ANZ partnered with Victor Smorgon Group (VSG), a private investment firm managing the Smorgon family‘s billions in assets, tested a transaction buying Australian Carbon Credit Units in their tokenised form via a partnership with ZeroCap and using the carbon trading platform BetaCarbon with an the involvement of Fireblocks, who was also already deeply involved in the stablecoin project together with its local development partner Blockfold it later even acquired (ANZ) (Fireblocks).

Lygon Blockchain Platform

ANZ is a founding member of the Lygon platform, which digitises bank guarantees using blockchain technology. This platform, developed in collaboration with Westpac, Commonwealth Bank of Australia, IBM, and Scentre Group, aims to reduce the time and risk associated with issuing and managing bank guarantees. Lygon has successfully raised $9.4 million in funding to expand its operations and enhance its capabilities​ (Ledger Insights)​​ (ANZ)​.

Trade Finance and Asset Settlement

ANZ has applied blockchain technology to streamline its trade risk-participation sell-down (RPSD) process, reducing operational risks and improving efficiency. The bank has also been exploring the potential of blockchain to revolutionise Delivery vs. Payment (DvP) processes in securities settlement, leveraging blockchain’s ability to tokenise assets and payments on a single infrastructure​ (ANZ)​​ (CryptoTale)​.

For more detailed information, you can refer to sources like:

• Chainlink
• IT News
• Reserve Bank of Australia

DBS

Singapore — $554 Billion

DBS Bank has started serious blockchain projects early and has been leveraging blockchain technology extensively across various initiatives to enhance its financial services, offering institutional trading and customers and investment products to its private banking clients.

Intraday Repurchase Transactions

DBS became the first bank in Asia to complete an intraday repurchase transaction on J.P. Morgan’s Onyx Digital Assets blockchain network. This platform supports instant settlements and maturity of transactions within hours, significantly reducing the typical one to two-day processing time​ (DBS)​.

Contour Trade Finance Network

DBS has joined the Contour blockchain network to digitise letter of credit transactions across several markets, including Australia, China, Hong Kong, and Singapore. This integration aims to reduce processing times by up to 90% and enhance the security and transparency of trade finance documentation​ (Ledger Insights)​​ (Ledger Insights)​.

Partior Platform

In collaboration with J.P. Morgan and Temasek, DBS launched Partior, a blockchain-based platform for cross-border multi-currency payments. Partior aims to streamline global payments, trade finance, and foreign exchange transactions by leveraging the benefits of blockchain and smart contracts​ (Ledger Insights)​.

Blockchain-Based Repo Transactions

DBS, along with UBS and SBI, pioneered the world’s first blockchain-based repo transaction using a public distributed ledger technology (DLT) network. This initiative was part of MAS’ Project Guardian and demonstrated the feasibility of instant, automated settlements across different jurisdictions​ (Fintech News)​.

Institutional Crypto Trading and Custody

DBS has formed a partnership with SIX Digital Exchange (SDX) to offer institutional-grade crypto trading and custody services. This joint offering caters to the growing demand from institutional investors for secure, regulated, and reliable access to crypto markets. The collaboration combines SDX’s robust custody and post-trade services with DLT Finance’s trading and brokerage capabilities​ (SDX)​.

Digital Bond Issuance

DBS has been involved in issuing digital bonds using Distributed Ledger Technology (DLT) as part of its collaboration with SIX. This includes working with the World Bank and the Swiss National Bank (SNB) to settle bonds using tokenised CHF on the SDX platform. These bonds are listed on both the traditional SIX Swiss Exchange and the digital SDX, bridging conventional and digital finance systems​ (World Bank)​.

For more detailed information, you can explore sources such as:

• Ledger Insights
• SIX Digital Exchange

Itaú Unibanco

Brazil — $440 Billion

Itaú Unibanco, Brazil’s largest private bank, has already made remarkable progress blockchain uses cases, offering tokenisation services and offerings as well working on the use of CBDC together with the Brazil’s central bank together with other banks in the Brazilian market.

Asset Tokenisation Platform

Itaú is launching a new asset tokenisation platform that will convert traditional financial products into blockchain-based tokens. This platform aims to open up to retail investors and offers services including issuance, distribution, and custody of digital assets. It is built on Hyperledger Besu, an open-source Ethereum client​ (CoinDesk)​​ (CoinGeek)​.

First Digital Asset Tokenisation

Itaú successfully tokenised its first digital asset in July 2022. The initial tokenisation involved trade finance receivables with plans to extend tokenisation to other real-world assets like security tokens. Additionally, Itaú has developed a digital asset custody solution​ (Ledger Insights)​.

Cryptocurrency Trading Platform

The bank has integrated cryptocurrency trading into its own investment platform, allowing its more than 60 Million users to trade Bitcoin and Ethereum. This initiative is part of Itaú’s broader strategy to meet the growing demand for crypto-related products among its clients​ (DApp Expert)​.

Participation in CBDC Development

Itaú is one of nine partners collaborating with Brazil’s central bank on developing the country’s central bank digital currency (CBDC), the digital real. This project includes developing payment versus payment (PvP) systems for international transfers​ (Ledger Insights)​.

For more detailed information, you can explore sources such as:

• CoinDesk
• CoinGeek
• Ledger Insights
• Dapp.Expert

ABN AMRO

The Netherlands — $405 Billion

ABN Amro has started already around 2018 in Blockchain-related initiatives and has integrated its digital assets activities in the bank main strategy pillar of “Future-proof Banking”. Since then the dutch bank has been involved in numerous blockchain, tokenisation, and digital asset initiatives, developing and testing use cases in the space driven by their banks innovation team in partnership with the capital markets team. Here are some highlights of their activities:

Commodities Trading and Partnership with Komgo

ABN Amro’s first project in the space was in commodities trading, tracking the shipping containers on-chain and offering this solution to its clients, which also provided its clients major benefits from the precise tracking for trade finance improvement as their head of innovation described in the last years The Banking 50 event (YouTube Banking 50).

Digital Green Bonds

ABN Amro issued a €5 million digital green bond using Tokeny’s platform on the Polygon blockchain. This bond, issued for real estate investor Vesteda, to finance sustainable projects and improve transparency and efficiency in bond issuance. DekaBank purchased the entire issuance, showcasing a successful integration of blockchain in traditional finance​ (Cointelegraph)​.

Corporate Digital Bonds for APOC Aviation

ABN Amro also issued a small €450,000 digital bond on the Stellar blockchain for APOC Aviation earlier that year in 2023, demonstrating its capability to offer innovative financing solutions for commercial clients​ (Fintech News)​​ (Ledger Insights)​.

Forcefield Inventory Platform

Already in 2019, ABN Amro launched Forcefield, a blockchain inventory tracking platform, in collaboration with Accenture, ING, and other industry players. Although positioned as an IoT (Internet of Things) project, this platform enhances the security and efficiency of physical trade inventories though the blockchain, using sensors and near-field communication (NFC) chips​ (Cointelegraph)​.

Mobile Investment Platform with BUX Partnership

ABN Amro Clearing partnered with BUX in 2019 to provide blockchain solutions for a mobile investment platform, leveraging blockchain technology for efficient and transparent stock trading​ for its non-commission stocks (Cointelegraph)​.

European Blockchain Sandbox

ABN Amro is collaborating with Rabobank and Assetblocks in the European Blockchain Sandbox to explore the tokenisation of financial securities and stablecoin integration, aiming to bridge the gap between physical and digital economies​ (Finextra Research)​.

Investment in Digital Asset Holdings

ABN Amro has invested in blockchain startup Digital Asset Holdings and joined the R3 blockchain consortium to leverage blockchain technology for financial services​ (CoinDesk)​.

Here are some more source of ABN Amro relating to blockchain and digital assets:

• ABN Amro Innovation
• ABN Amro Medium Blog — This is what banking will look like in 1o years

Nomura

Japan — $373 Billion

Nomura has been significantly involved in blockchain technology through various initiatives, focusing on asset tokenisation, digital bonds, and decentralised finance (DeFi). Through its digital asset subsidiary Laser Digital with offices in Zurich, Japan, London and Dubai, it is offering trading, building treasury and liquidity solutions, offering investment solutions as well as incubates and invests for institutional digital assets start-ups. Since its inception just over a year ago it has already achieved remarkable progress with service and product launches as well as venture investments like Infintity Protocol, Clear Token, Crossover, Webn, Keimanu and Libre

BOOSTRY and Ibet Platform

Nomura, in collaboration with Nomura Research Institute (NRI), established BOOSTRY, a joint venture aimed at developing a blockchain platform for securities trading called Ibet. This platform facilitates the issuance and trading of digital bonds, reducing administrative costs and improving transparency. BOOSTRY has been involved in issuing Japan’s first blockchain-based digital bonds, offering both conventional and digital asset bonds directly to investors​ (Ledger Insights)​​ (Nomura Connects)​​ (Ledger Insights)​.

Laser Digital

Nomura’s subsidiary, Laser Digital, is a full-service digital asset firm specialising in trading, asset management, solutions and early-stage investing. It offers crypto trading services and custody, services for cross-asset liquidity and treasury management through Talos, digital asset investment products and invests into institutional use case ventures (Laser Digital) (Nomura).

Laser Digital Broker-Dealer and Asset/Fund Management License in Abu Dhabi and VASP Permission in Dubai

Laser Digital has received a Financial Services Permission from the Financial Services Regulatory Authority of Abu Dhabi Global Market (ADGM). This license allows them to offer broker-dealer and asset/fund management services in both traditional and digital assets from ADGM. Laser Digital’s UAE division aims to uphold high standards of compliance and contribute to ADGM’s financial community. The permission comes after Laser Digital already received the operating licence approval from Dubai’s Virtual Asset Regulatory Authority (VARA) to offer broker-dealer services and asset/fund management services in Dubai (Laser Digital) (Laser Digital).

Libre Protocol

Laser Digital has launched several blockchain projects, including the Libre protocol on the Polygon network. Libre aims to tokenise funds, enhancing the management and distribution of alternative asset funds. Notable firms like Brevan Howard and Hamilton Lane are set to use this platform​ (The Block)​.

Infinity Exchange

Laser Digital has also invested in institutional-grade DeFi protocols such as Infinity Exchange, indicating Nomura’s commitment to integrating blockchain technology into traditional financial services​ (CoinDesk)​.

Green Bonds and Sustainability

In partnership with Hitachi and the Tokyo Stock Exchange, Nomura has worked on issuing blockchain-based green bonds. This initiative involves using blockchain to monitor and verify carbon emissions reductions from renewable energy projects, providing transparency and accountability for sustainability goals​ (Ledger Insights)​.

Bitcoin Adoption Fund

Nomura launched a Bitcoin Adoption Fund through its Laser Digital subsidiary. This fund is designed to offer institutional investors regulated and secure exposure to Bitcoin, further demonstrating Nomura’s active participation in the digital asset space​ (CoinDesk)​.

Polygon Staking Fund

Laser Digital has launched an institutional digital asset fund focused on Polygon staking. The Laser Digital Polygon Adoption Fund allows institutional investors to access yields from staking Polygon’s MATIC tokens. This fund, using TruFin’s TruStake solution, simplifies staking by offering a passive investment option. Initially launched in the UK, the fund aims to expand to other jurisdictions, leveraging the security of the Ethereum network and Polygon’s cross-chain capabilities (Ledger Insights).

JPY and USD Stablecoins in Japan

Nomura Holdings, Laser Digital, and GMO Internet Group have partnered to explore issuing JPY and USD stablecoins in Japan. This collaboration leverages GMO’s expertise in stablecoin issuance and Nomura’s digital asset proficiency to develop a “Stablecoin-as-a-Service” solution, ensuring regulatory compliance and efficient blockchain integration. The initiative aims to enhance digital asset accessibility and innovation in Japan’s financial landscape by providing secure, transparent, and cost-effective stablecoin transactions (Nomura).

Laser Digital Venture Investment and Incubator:

Laser Digital is definitely increasing its pace in its venture investments with a number of notable new investments, showing its dedication to invest into innovative infrastructure that is also beneficial building out their services but also in other web3 ventures such as:

• ClearToken: A centralised clearing counterparty (CCP) and settlement infrastructure for digital assets to integrate with institutional digital assets service provider.
• Infinity Exchange: Blockchain infrastructure built for permissionless lending, borrowing and trading of digital assets for institutions and traders.
• Orderly: A DEX (decentralised exchange) SDK for institutional-grade Infrastructure with permissionless shared liquidity for CeFi & DeFi.
• Solv Protocol: An omnichain liquidity and yield infrastructure
• Tevera: Web3 ZK gaming development infrastructure
• Singularity: institutional compliant access layer to decentralised finance (DeFi).
• Webn: Incubator of firms targeting institutional digital assets and web3.

For more detailed information, you can explore the sources from:

• Laser Digital
• Marketsmedia
• Ledger Insights — Laser Digital Polygon Staking Fund
• Mobile Marketing — Laser’s Metaverse Botanical Garten

Erste Bank

Austria — $324 Billion

Austrian Erste Bank Group with its subsidiaries Sparkasse is a major banking group in Austria and in the CEE market has also shown already very interesting projects in the space, especially in the issuance of a bond for the Austrian’s highway financing and construction company ASFINAG, in blockchain-based trade finance and SME finance projects, and the advancement of CBDC together with the Austrian National Bank.

Blockchain-Based Capital Markets Issuance

Erste Bank, in collaboration with ASFINAG, successfully launched Europe’s first entirely blockchain-based capital markets issuance. This initiative utilised a permissioned blockchain platform for issuing a Schuldscheindarlehen, eliminating the need for traditional paper-based processes and enhancing efficiency and transparency in capital markets (Erste Bank).

Trade Finance Platforms

Erste Bank joined the now defunct we.trade platform, a blockchain-based trade finance initiative that merged with the Batavia blockchain consortium. This platform facilitates trade finance transactions, providing a secure and efficient environment for international trade by leveraging blockchain technology to enhance transparency and reduce transaction times (Erste Bank).

Collaborations for SME Financing

In partnership with the European Investment Bank (EIB), Erste Bank implemented a synthetic securitisation transaction to support lending to small and medium enterprises (SMEs) in Austria. This initiative aims to increase lending capacity and promote investment in the local economy by using innovative financial solutions supported by blockchain technology.

CBDC Pilot with Austrian National Bank and Raiffeisen

Erste Bank together with Raiffeisen Bank and Austria’s central bank, Oesterreichische Nationalbank (OeNB), is progressing already to the second phase of its wholesale CBDC Project Delphi. The initial phase involved simulating the issuance and settlement of Austrian Treasury Bonds on a blockchain. The second phase will explore advanced functionalities, including non-fungible tokens (NFTs) and decentralised finance (DeFi). The project aims to achieve real-time settlement (T0), improve efficiency, and reduce intermediaries and costs, while addressing the scalability and operational risks of distributed ledger technologies (DLTs) (Ledger Insights).

For more detailed information, you can refer to:

• Erste Group’s Press Release
• Global Trade Review
• European Investment Bank

State Street

US — $297 Billion

State Street , the smallest US institution on the list but also with already well-known blockchain and digital assets initiatives can’t be missed on the list and we expect much more to come from them with its ongoing reorganisation of its digital assets unit.

State Street Digital

State Street launched its digital assets division, State Street Digital in 2021, focusing on digital assets, blockchain, and tokenisation. State Street Digital was reportedly to be integrated with its proprietary electronic trading platform, which the bank planned to develop into one that can support crypto assets as well as other asset classes. Since then, this unit was building partnerships with several well-known companies in the space to offer dedicated digital asset services. Here’re some of the major development of State Street Digital:

State Street Digital Asset Services

According to State Streets website, the bank is offering the following services:

• Digital Cash: Which is a result of the banks partnership as a founding member of Fnality and is targeting institutional cash payment infrastructure.
• Tokenisation: A service offered through its development with Securrency, including tokenising fund shares, Automating the over-the-counter lifecycle of foreign exchange non-deliverable forwards, and digitised trade processing on their front-to-back platform, delivering aggregated data, analytics and real-time insights through State Street Alpha.
• Trading: A UK-based OTC crypto trading platform for institutional investors through their Currenex trading platform.
• Custody: Which is currently not clear according to our research since the partnership with crypto custodian copper was terminated and a proprietary custody solution of the bank was planned to be pitched to the regulator in US and other jurisdiction by end of 2023. But the ongoing uncertainty in the US regarding crypto custody might have been paused, or to be just offered in non-US markets where regulations are more friendly and clear for the bank (DigFin). A bank like State Street with $4.3 trillion assets under management and $43.6 trillion in assets under custody, most probably sees its main business potential in custody of digital assets as well.

Prior Partnership with Copper

Initially, State Street partnered with Copper to develop a digital asset custody solution. However, this partnership was mutually terminated due to evolving regulatory environments and strategic shifts. Copper faced challenges in obtaining regulatory approvals, leading to the closure of its enterprise infrastructure division and focusing on core competencies like ClearLoop for real-time settlement services​ (CoinDesk)​​ (FundsTech)​​ (Ledger Insights)​.

Investment in Securrency

State Street invested in Securrency, a blockchain-based financial and regulatory technology firm. Securrency focuses on tokenising real-world assets and providing compliance tools for financial institutions. Seccurency was last year acquired and integrated in DTCC (Blockworks)​ (Ledger Insights).

Tokenisation Initiatives

State Street is actively exploring tokenisation for various assets, including ETFs and private assets. The firm is also incorporating smart contracts and distributed ledger technology to automate trade collateralisation processes, enhancing transaction speed and reducing risk​ (State Street)​​ (Blockworks)​.

Integration with AI and Emerging Technologies

State Street is integrating blockchain with artificial intelligence (AI), cloud computing, and the Internet of Things (IoT). This integration aims to bring trust and transparency to AI processes, enhancing data ownership, model reliability, and decision-making transparency in financial services​ (State Street) (State Street)​.

State Street’s Reorganisation of its Digital Asset Unit

After notable leaves and lay-offs of State Street’s digital asset unit at the beginning of this year, it was recently reported that the bank is re-hiring for its digital assets unit (Seeking Alpha).

Annual State Street Digital Asset Study

State Street has conducted and published its Digital Assets Study already two year in a row, which is a great barometer of the readiness of the institutional preparedness for the digital transformation. In 2024 the survey spanned across 300 investment institutions globally. One of the most interesting outcome of this years survey was that 28% answered that they’re “extremely prepared” and another 24% answered with “currently doing this”. Only 9% answered with “extremely unprepared” and another 16% with “somewhat unprepared” (State Street Digital Assets Study).

For more detailed information, you can explore sources such as:

• State Street Digital Assets
• State Street Digital Asset Interoperability

Raiffeisen International Bank (RBI)

Austria — $197 Billion

The Austrian bank is not only one of the two leading banks in its home market Austria together with the Erste Bank Group, but also one the biggest bank across the whole CEE regions (Central Eastern Europe), dominating many of those markets as well. Raiffeisen International made also already waves with its Blockchain initiatives with its own Blockchain Hub in Vienna.

Early Start and the RBI Blockchain Hub

RBI is a leader in blockchain innovation in Austria, joining the R3 Blockchain Consortium in 2017 and the Blockchain Research Institute in 2018. RBI has developed its own blockchain projects, operates a Blockchain Hub, and hosts the annual RBI Blockchain Night. Recognised in Bitbond’s “Tokens Made Easy” report, RBI collaborated with Bitbond and Metaco on a commodity tokenisation project using the Polygon blockchain. This initiative aims to develop a comprehensive tokenisation platform for RBI’s product portfolio, highlighting the bank’s commitment to blockchain and tokenisation. RBI also launched a blockchain-based platform for the settlement of intercompany payments through its Russian branch way back before the war (Ledger Insights).

RBI Coin and Blockchain Interoperability

RBI, in partnership with Bitpanda and the Technical University of Vienna, is working on the Pantos project to implement blockchain interoperability on its RBI Coin. This next-generation digital cash solution aims to streamline inter-bank and inter-company payments, enhancing cash and liquidity management. The RBI Coin leverages Pantos technology to enable interoperability between different blockchain ecosystems, making it a versatile tool for various financial applications​ (CoinDesk)​​ (IBS Intelligence)​.

Stablecoin Project

Raiffeisen is developing a blockchain-agnostic stablecoin project to connect its tokenised fiat currency with multiple blockchains. This project aims to offer greater flexibility and integration across different blockchain platforms, ensuring a seamless transaction process​ (CoinDesk)​.

Blockchain in Supply Chain Finance

As early as 2017, the bank started to explore the use of blockchain technology in supply chain finance together with clients on the Marco Polo Platform. By digitising and securing supply chain processes, the bank worked on to provide more reliable and efficient financial services to its corporate clients (GlobalTrade)​.

CBDC Project with Austrian National Bank and Erste Bank

Raiffeisen Bank is the second participant in the CBDC project with the Austrian National Bank, Oesterreichische Nationalbank (OeNB), and Erste Bank in its wholesale CBDC Project Delphi. Already in the second phase of the project, it will further explore advanced functionalities, including non-fungible tokens (NFTs) and decentralized finance (DeFi). The project aims to achieve real-time settlement (T0), improve efficiency, and reduce intermediaries and costs, while addressing the scalability and operational risks of distributed ledger technologies (DLTs) (Ledger Insights).

Crypto Trading through Partnership with Bitpanda

Since early this year, Raiffeisen Bank is offering crypto trading to its customers in Austria through a partnership with Austrian crypto exchange Bitpanda. The service is directly integrated in its banking app and offered to its retail clients, which can be considered as a big step, especially for a bank with 18 million clients across its CEE market (Coindesk) (Raiffeisen).

For more information to RBI blockchain projects and activities:

• RBI Blockchain Hub
• RBI Elevator Lab
• RBI Elevator Ventures
• Der Brutkasten (in german)

Conclusion

On the one hand side it has taken already a long time that the potential of the Distributed Ledger Technology (DLT) and digital assets are fully recognised and utilised by the institutional market, although many institutions have started early research and testing on various use cases. This has to do with several factors such as the lack of institutional grade infrastructure, the lack of wider market adoption, the lack of regulatory clarity and the lack of trusted distribution network among several others as a recent report of SBI has discovered.

Source: https://www.sbidah.com/news/institutional-adoption-of-digital-assets-2024/

On the other hand, it is really remarkable what we have discovered, how much has been already built and how fast the market is now evolving on so many use cases and their adoption. Most of the barriers to institutional adoption as mentioned are basically resolved through all these developments. This fuels the future growth to embrace the full potential of the tremendous opportunities in terms of transparency, efficiency, accessibility and inclusion.

The Capital Market is inevitably moving towards tokenisation since the technology offers undeniable benefits. And the global banks are clearly getting ready.

The Tremendous Market Potentials ahead

At RIVA Markets, we have identified private markets as those with the biggest potentials. Its highly opaque nature, its inefficiencies with a quite underdeveloped technical infrastructure, and its lack of efficient liquidity provides an invaluable potential making them accessible, transparent, efficient and liquid. By making them transparently accessible, real trust can be built. Especially products like ABS, MBS and CDO’s can and will gain their role they deserve, as the root-causes that led to the global financial crisis 2007/2008 can be fully eliminated. New financial primitives can be developed, and derivatives to provide additional protection can be directly built into smart contracts. The need of independent service providers as well as SPVs to separate the risks from balance sheets and their role for default control become obsolete, as the assets can live on-chain and all rules are hard-coded in smart contracts and automatically enforced.

And this is the area where we also see the biggest catch-up potential we’re building.

Final Words

It is not a complete list and we haven’t repeated all the projects and start-ups where many banks are involved, as it would push the envelope. And some of the projects are already outdated defunct and/ or replaced. But it gives a quite comprehensive overview on the main activities these global financial giants have worked on so far in relation to blockchain use case, implementation and testing, launch and use of stablecoins, launch of investment products, strategic investments into blockchain start-ups and other relevant initiatives.

For us as a team, which has been long in the blockchain space and even much longer in financial services, researching and building on the topic of tokenised asset management since a some time now, we see much more potentials and massive opportunities banks can embrace. But we all need to work further on true interoperability and integration of those new decentralised applications in the financial market infrastructure, as well as educating investors and provide them a seamless and easy user experience.

But this is for sure just the start and we will see much more to come as we’re moving further into “the next phase of global financial markets” to cite Blackrock’s Larry Fink.

Big Cudos also at the end to the team of Ledger Insights, who has covered so many of the institutional blockchain adoption so well over the years. Without that, this list and our upcoming report wouldn’t even have been possible.

Upcoming Report Publication

This article is our blog-related coverage of the Top 30 banks in blockchain, which will be followed up with the publication of our full report that will contain additional details and reports.

Sign-up on our website to receive it directly to your inbox: https://www.riva.markets/

Next Up — Top Asset Managers in Blockchain

Additional to our top banks in blockchain we’ll also release our research into the blockchain and digital assets activities of the global top asset managers, which will also be published as blog article here and as full report. So, watch also out for this.

About RIVA Markets

RIVA Markets is a London-based Fintech, developing a novel End-to-End Capital Market Infrastructure and Institutional Marketplace for the future tokenised capital markets, with initial focus on private and real estate debt. RIVA Markets aims to revolutionise the market delivering the technical infrastructure for $ 15 Trillion debt securities investment market by issuing and managing ABS, MBS, CDO and CLO fully on-chain.

The RIVA Markets end-to-end solution consists of 4 distinct and interconnected modules:

RIVA Prime — On-Chain Loan Origination System

RIVA Securities — Securitisation & Tokenisation System

RIVA Markets — Primary Issuance & Secondary Trading Marketplace

RIVA Capital — On-Chain Fund Management Platform

Follow us and stay tuned as we’ll soon release the full report of this research and also our second report about the blockchain and digital assets initiatives of the biggest global asset managers.