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BNY targets 24/7 Treasury settlement in 2027 as tokenization expands

BNY targets 24/7 Treasury settlement in 2027 as tokenization expands

Bloomberg reported the custodian bank aims to extend round-the-clock settlement to conventional and tokenized U.S. Treasuries, a shift that could narrow the gap between traditional market hours and always-on digital-asset activity.

Fact Check
The Bloomberg article, the primary source lead, explicitly states BNY plans tokenized Treasury pilots on its private blockchain by end-2026 and full 24/7 settlement of conventional and tokenized Treasuries in 2027. CoinGape independently corroborates these same details while attributing them to the Bloomberg report. All elements of the claim—the private blockchain pilots, the end-of-year (2026) timing, and the 2027 goal for around-the-clock settlement—are directly supported.
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Summary

BNY plans to enable 24/7 settlement for conventional and tokenized U.S. Treasuries by 2027, according to a Bloomberg report dated July 24, 2026, extending an earlier target to build an always-on market for the securities. The move would address a longstanding mismatch between continuously operating crypto and stablecoin markets and Treasury infrastructure that still follows banking hours, leaving trades executed late in the week or over holidays to wait until the next business day. The bank, described in the report as the world's largest custodian, is positioning continuous settlement as core market plumbing rather than a limited tokenization pilot. Bloomberg's account says the approach would apply to conventional Treasuries and tokenized equivalents alike, potentially easing frictions for stablecoins, on-chain cash products and cross-border payments that rely on Treasuries as collateral. The report also notes the plan remains a 2027 target rather than a live system, with technical design details still undisclosed and regulatory and market-infrastructure coordination still required.

Terms & Concepts
  • tokenized U.S. Treasuries: Digital versions of U.S. Treasury securities designed to be issued, moved or settled using token-based infrastructure.
  • stablecoins: Digital tokens designed to maintain a fixed value, often by being backed by cash, Treasuries or similar reserve assets.
  • settlement risk: The risk that a trade is agreed but not fully completed on time, potentially leaving one side exposed to loss or delayed access to funds or collateral.