DBS Bank rolls out new ‘Token Services’ for blockchain banking

DBS Bank has launched DBS Token Services, a blockchain-powered solution aimed at simplifying institutional banking operations.

According to a DBS press release, the new service will combine the bank’s Ethereum-compatible permissioned blockchain (with an ETH 0.21% focus), its primary payment engine, and various industry-specific payment networks.

Real-time payments via the blockchain

Smart contracts allow institutions to automate the management of funds, such as Treasury Tokens, Conditional Payments, and Programmable Rewards. This transition will enable real-time payment settlements through a permissioned blockchain, where only authorized participants are permitted to engage with the system.

Tokenization in finance involves converting physical or digital assets into digital tokens, making them easier to trade and manage. Smart contracts are automated agreements that execute themselves according to predefined terms, offering enhanced security and transparency in transactions.

With this initiative, DBS aims to deliver a more efficient and secure banking experience for institutional clients.

This launch builds on DBS’s earlier blockchain initiatives, such as a treasury token pilot and blockchain-powered government grants.

Additionally, the bank is venturing into cryptocurrency options trading, further demonstrating its commitment to the evolving blockchain and digital asset ecosystem.