IBM Taps Swift's Blockchain Ledger for Tokenized Deposits, Cuts Banks Some Slack 🏦

IBM has opened beta connectivity between its Digital Asset Haven platform and Swift's blockchain-based ledger for tokenized deposits, alongside a beta option letting banks run the platform on their own hardware. The two additions were announced Thursday as part of the Digital Asset Haven offering for banks and other regulated institutions managing digital assets.

Digital Asset Haven now includes a messaging adapter that allows institutions to initiate tokenized deposit transactions using ISO 20022, the global standard for financial messaging. IBM said the integration enables banks to use existing payment formats and compliance processes rather than building blockchain-specific workflows. Financial institutions participating in Swift's program have tested tokenized deposits on the ledger through the platform, according to IBM.

"The financial services industry is entering a new era where tokenized and traditional assets will need to move side by side," said Tom McPherson, general manager of IBM Z and LinuxONE. Swift, the global financial messaging cooperative, developed the blockchain ledger with more than 40 financial institutions and launched it in July with 17 banks in its initial pilot group, including HSBC, Citi, BNP Paribas, UBS and Standard Chartered. HSBC and Standard Chartered completed the first live cross-border transaction on the ledger in August.

The on-premises option will run on IBM Z and LinuxONE infrastructure without relying on public cloud services, allowing banks and other regulated institutions to keep digital asset operations and key management within their own data centers. Related reporting has documented additional pilots on the Swift ledger, including a first weekend tokenized cross-border deposit completed by Citi and DBS.