BNY Mellon, Citadel Securities complete tokenized U.S. Treasury triparty repo trade
BK•BNY completed a tokenized U.S. Treasury triparty repo workflow with Citadel Securities, a first for a major triparty repo platform. A two-year Treasury note was tokenized, settled within minutes and used as collateral in an overnight repo, with BNY providing cash.
1. Tokenized repo workflow
Citadel Securities bought a two-year U.S. Treasury note on Tradeweb and recorded a tokenized representation on BNY’s private digital ledger. The security settled within minutes and then served as collateral in an overnight triparty repo, with BNY providing cash.
2. Planned capabilities
BNY plans additional digital cash and tokenized deposit capabilities to support on-chain settlement and financing for institutional clients. The bank expects to extend operating hours for Fed-eligible securities settlement and U.S. triparty transactions into European and Asian hours next year.
