Singapore’s DBS has introduced a suite of blockchain-enabled features within its core transaction banking services for institutional clients.
Following extensive pilot programs, DBS Token Services now includes tokenization and smart contract capabilities such as Treasury Tokens, Conditional Payments, and Programmable Rewards for the bank’s clients. This innovative technology facilitates instant, 24/7 real-time payment settlements by integrating the bank’s Ethereum Virtual Machine-compatible permissioned blockchain with its core payment engine and various industry payment infrastructures. Moreover, smart contracts provide the ability for institutions to govern fund usage based on predefined conditions.
According to DBS, the use of a permissioned blockchain allows full control over these services, enabling the bank to leverage blockchain technology while meeting compliance standards.
Lim Soon Chong, group head of global transaction services at DBS Bank, stated, “By leveraging tokenization and smart contract capabilities, DBS Token Services enables companies and public sector entities to optimize liquidity management, streamline operational workflows, strengthen business resilience, and unlock new opportunities for end-customer or end-user engagement.”
Treasury Tokens empower large corporations operating in multiple markets to settle multi-currency intra-group transactions instantly around the clock, free from the limitations of currency cut-off times and non-banking hours typical of traditional banking systems.
Conditional Payments provide institutions with the opportunity to redesign and automate their payment workflows, with the potential to extend this functionality to various forms of intermediated payments and milestone-based payments.
Additionally, Programmable Rewards allows clients to create digital voucher programs for their customers in a cost-effective manner.