Citi completes live transactions on swift’s blockchain-based ledger with OCBC, FAB

By Divya Shah

Citi Group completes live transactions in Swift’s blockchain-based ledger, collaborating with Singapore’s Oversea-Chinese Banking Corporation (OCBC) and the United Arab Emirates’ First Abu Dhabi Bank (FAB).

The transactions demonstrated how distributed ledger technology (DLT) can support real-time, multi-bank, and cross-border payments while also enabling securities and collateral management for corporate and institutional clients.

Debopama Sen, Head of Payments, Services at Citi, said, “This pilot represents a crucial step in exploring how we can leverage the power of shared ledger technology to create a more efficient, interoperable, and always-on global financial system that supports both payments and collateral movement.”

She added that Citi’s involvement in designing and executing Swift’s ledger minimum viable product (MVP) helps ensure client needs remain central to future interoperability between digital and traditional currencies.

The successful transactions highlight the potential for blockchain-based infrastructure to deliver continuous payment and settlement services beyond conventional banking operating hours, eliminating restrictions associated with cut-off times, weekends, and holidays.

Citi plans to expand the pilot through additional transactions with other major banking partners, including DBS and United Overseas Bank (UOB), later this month. The proof-of-concept programme is running in a controlled environment from July through December 2026.

The initiative also aims to demonstrate how tokenised deposits and tokenised securities can move seamlessly across a shared blockchain infrastructure. Industry participants believe this could improve the efficiency of cross-border payments, securities settlement and collateral mobility while reducing operational friction.

Swift’s ledger project combines blockchain technology with existing financial market infrastructure. Under the model, tokenised deposits are used to provide instant payment commitments, while final settlement continues to rely on established mechanisms such as real-time gross settlement (RTGS) systems. The approach seeks to preserve the trust and security of traditional banking networks while introducing the benefits of digital asset technology.

Key advantages of the model include 24/7/365 transaction capabilities, faster crediting of funds to beneficiaries and improved liquidity management for participating banks.

Citi already operates one of the largest global clearing networks, with its 24/7 USD Clearing solution serving more than 300 banking clients worldwide. Meanwhile, Citi Token Services currently processes approximately $1 billion in transactions through its blockchain-enabled platform, reflecting growing institutional adoption of tokenised financial services.