US Banks to Launch Shared Tokenized Deposit Network 2027

Several of the largest U.S. banks are collaborating to build a shared tokenized deposit network, aiming to launch the system in the first half of 2027. The network will be operated by The Clearing House, a real-time payments company owned by a consortium of major financial institutions including JPMorgan Chase, Bank of America, Citigroup, and Wells Fargo.

The planned platform would allow member banks to move tokenized versions of customer deposits instantly across blockchain infrastructure, enabling around-the-clock settlement. Clearing House CEO David Watson described the initiative as a big move for the banks, stating that the industry faces a radically different future built around on-chain payments and finance. The project has been referred to internally by some participants as "the bridge" or "the chain," and a specific blockchain vendor has not yet been selected.

Tokenized deposits differ from stablecoins by representing actual bank deposits recorded on a blockchain, rather than a separate digital asset issued outside the traditional banking system. Banks favor this model because it keeps funds within the insured deposit system and operates under existing regulatory and...