Major U.S. banks target 2027 launch for shared tokenized deposit network

JPMorgan, Bank of America, Citigroup and Wells Fargo are developing a The Clearing House-run system for 24/7 tokenized deposit transfers as banks also press lawmakers over stablecoin rules.

Summary

JPMorgan, Bank of America, Citigroup and Wells Fargo are working with The Clearing House on a shared tokenized deposit network targeted for launch in the first half of 2027. The planned system would allow participating banks to clear and settle tokenized deposits around the clock while linking blockchain-based activity with existing payment rails, initially for multinational companies seeking programmable treasury, real-time liquidity management, automated payments and cross-border transfers. The project has backing from more than a dozen other institutions, including BNY, HSBC, PNC, Santander, TD Bank, Truist and U.S. Bank. Banks are pursuing the initiative as they also push for tighter stablecoin reward restrictions under the CLARITY Act, highlighting a broader contest between bank-based tokenized money and crypto-native payment rails.

Terms & Concepts
  • tokenized deposit network: A shared system for moving digital representations of commercial bank deposits between institutions.
  • programmable treasury: Corporate cash management that uses predefined rules to automate fund movements and payments.
  • stablecoin reward restrictions: Rules aimed at limiting incentives on stablecoin holdings that could resemble deposit interest.