Citigroup Joins JPMorgan, BofA in 24/7 Tokenized Deposit Network Set for H1 2027
C•Citigroup joins JPMorgan, Bank of America and Wells Fargo in building a shared Tokenized Deposit Network via The Clearing House, targeting first-half 2027 launch of 24/7 instant settlements. The on-chain system aims to replace stablecoins and preempt government-issued retail CBDCs by keeping deposits within the regulated banking system.
1. Tokenized Deposit Network Launch
Citigroup is partnering with JPMorgan, Bank of America and Wells Fargo to build a shared Tokenized Deposit Network through The Clearing House, designed to enable continuous on-chain settlement of regular bank deposits. The network aims to process payments 24/7, including weekends and holidays, with programmability features for institutional clients.
2. Competitive Impact on Stablecoins and CBDCs
By settling deposits on a shared ledger, the TDN closes the settlement gap that stablecoins currently exploit for real-time cross-border liquidity, potentially reducing demand for USDC-like instruments. The initiative also seeks to preempt retail central bank digital currencies by retaining transaction flows within the regulated banking sector.
3. Project Timeline and Infrastructure
The TDN is scheduled for a first-half 2027 rollout, integrating existing tokenized deposit efforts such as JPM Coin on Kinexys and Citi’s Token Services between New York, London and Hong Kong. The Clearing House emphasizes interoperability to connect siloed platforms into a single regulated settlement network at U.S. banking scale.
