Citi has achieved a significant milestone by processing live transactions on Swift’s blockchain-based ledger, becoming the first US bank to do so. This initiative, in collaboration with First Abu Dhabi Bank (FAB) and Oversea-Chinese Banking Corporation (OCBC), aims to deliver always-on, cross-currency payment solutions for institutional clients. The transactions mark the first of their kind in the Middle East with FAB and Southeast Asia with OCBC.
The pilot phase, running from July to December 2026, will see similar transactions with DBS and United Overseas Bank (UOB) later this month. This initiative is part of Citi’s strategy to enhance its digital asset capabilities, integrating solutions like 24/7 USD Clearing and Citi Token Services to enable real-time, cross-border payments and securities management.
Debopama Sen, Head of Payments within Citi’s Services business, stated, “We are proud to be a leader in this pivotal initiative, working alongside Swift and our esteemed bank collaborators to continue to transform the landscape of always-on payments, settlements and liquidity.”
The use of blockchain infrastructure supports the movement of tokenised deposits, creating a more efficient market for instant cross-border payments. Rachel Chew from DBS highlighted the importance of bridging traditional banking with digital networks for seamless transactions. Carmen Chan from OCBC emphasised the benefits for corporates, including faster access to funds and improved liquidity management.
As the initiative progresses, it promises to enhance global payment systems, offering 24/7 service and improved liquidity efficiency, setting a new standard for interoperability between digital and traditional currencies.
