On November 11, 2025, J.P. Morgan and DBS Bank announced a landmark collaboration to develop a framework for moving tokenized deposits across different blockchain networks. This initiative aims to create seamless, 24/7 cross-border payment highways for institutional clients, positioning regulated bank-issued tokens as a compelling alternative to traditional stablecoins.
A New Interoperability Standard for Banking
The partnership connects two of the world’s leading banking platforms: DBS Token Services and J.P. Morgan’s Kinexys Digital Payments. The primary goal is to break down the current silos in digital asset banking by building “interoperability highways” that allow tokenized deposits to move freely between the banks’ systems, even across different types of blockchains.
This framework is designed to work on both public and permissioned (private) blockchain networks. For example, an institutional client of J.P. Morgan could use its deposit tokens (JPMD) on the public Base blockchain to pay a DBS client, who could then redeem or hold those tokens directly via DBS Token Services. A core principle of this effort is to uphold the “singleness of money”, ensuring that a tokenized deposit retains the same value and is fully fungible, regardless of which bank issued it or which blockchain it moves across.
Why This Move Matters for Institutional Finance
This collaboration is a direct response to some of the biggest inefficiencies and frictions in the current global financial system, particularly for corporate treasuries.
For businesses, this system promises real-time, 24/7 cross-border settlements. This gives corporate treasuries the agility to manage their finances and capitalize on opportunities without being constrained by traditional banking hours or slower payment rails. The initiative also seeks to minimize reliance on third-party intermediaries and unregulated bridges by keeping transactions within the supervised perimeter of major regulated banks, thereby reducing counterparty risk.
Furthermore, this isn’t an isolated project. It reflects a broader institutional shift, with a Bank for International Settlements survey noting that nearly a third of commercial banks worldwide are now actively exploring tokenized deposits.
Paving the Way for the Future of Money
This initiative by J.P. Morgan and DBS has the potential to set a new industry standard. By proving that seamless, cross-chain, cross-bank transactions are possible, they are paving the way for a more connected and efficient future for institutional finance. As Naveen Mallela, Global Co-Head of Kinexys, stated, this collaboration shows “how financial institutions can collaborate to further the benefits of tokenised deposits for institutional clients while protecting the singleness of money and ensuring interoperability across markets”.
