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DBS Bank has launched a digital token service for companies and the public sector.
Key Notes
DBS Bank is pushing for more financial inclusion with its new Token service.The DBS token service is designed for companies and the public sector.It will ultimately aid firms in their compliance journeys.Singapore-based DBS Bank has launched a suite of new services dubbed “DBS Token Service”. Specifically, the new services include Treasury Tokens, Conditional Payments, and Programmable Rewards. This aligns with the bank’s vision to develop blockchain-based options for institutional clients. The bank’s focus is on unlocking new transaction banking capabilities and operating efficiencies for its institutional clients.
DBS Token Service: Key Features
According to DBS, the new banking products combine tokenization and smart contract-enabled capabilities with its existing banking services. Lim Soon Chong, Group Head of Global Transaction Services at DBS Bank, noted that this integration benefits companies and public sector entities.
This includes optimized liquidity management, streamlined operational workflows, and strengthened business resilience. They also get to unlock new opportunities for end-customer or end-user engagement.
“It marks a significant step forward in transaction banking and demonstrates how established financial institutions can leverage blockchain technology to deliver new ground-breaking features and experiences,” Chong added
Additionally, this token service integrates the bank’s EVM-compatible permissioned blockchain to unlock instant, 24/7, real-time settlement of payments. This is its core payment engine and multiple industry payment infrastructures. Also, smart contracts enable programmability for institutions to govern the use of funds based on predefined conditions.
In the long run, the focus is on enhancing security and transparency. The availability of a permissioned blockchain gives DBS full control over these services. As a result, the bank can harness the benefits of blockchain technology and adhere to compliance standards. The offerings in the DBS Token Service are a product of years of industry collaborations and experimentation in finance innovations.
They reflect how established financial service providers can utilize blockchain technology and smart contracts to deliver new client experiences. The DBS Bank Group Head of Global Transaction Services also acknowledged the pivot within the public sector to meet on-chain demand for digital asset services among individuals and organizations.
DBS Bank Push For Crypto Expansion with New Products
It is worth noting that DBS Bank has invested enormously in these crypto-related projects, reflecting its stance towards the burgeoning industry. In August, the banking institution launched a new blockchain-based treasury and liquidity management solution in collaboration with Ant International.
The terms of their agreement mandated Ant International to use the tokens for instant and multicurrency treasury and liquidity management.
Last month, the bank became the first financial organization in Asia to offer institutional-grade cryptocurrency options trading and structured notes. Available to only eligible institutional and professional customers in Asia, the product is scheduled to launch before the end of this year. The crypto options product is designed to provide direct exposure to the price movements of Bitcoin BTC $67 623 24h volatility: 1.0% Market cap: $1.34 T Vol. 24h: $36.94 B and Ethereum ETH $2 615 24h volatility: 0.3% Market cap: $314.83 B Vol. 24h: $14.88 B .
At the time, DBS Bank clarified that the initiative aimed to meet the growing demand from institutional and wealthy clients looking to diversify their portfolios with digital assets.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Benjamin Godfrey is a blockchain enthusiast and journalist who relishes writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desire to educate people about cryptocurrencies inspires his contributions to renowned blockchain media and sites.
