Canada's Big Six Banks Dive into Tokenized Deposits
Canada's six largest banks are collaborating on a project to explore tokenized Canadian-dollar deposits. This initiative aims to enable faster, more efficient, and programmable payments while keeping funds within the regulated banking system.
The participating banks include Bank of Montreal, CIBC, National Bank of Canada, Royal Bank of Canada, Scotiabank, and TD Bank Group. The first phase will test the movement of tokenized deposits between Canadian financial institutions.
This move comes as Canadian financial institutions and regulators expand work on tokenized financial markets. In March 2026, the Bank of Canada demonstrated the issuance and trading of a tokenized bond using distributed-ledger technology with payments settled in wholesale central bank deposits.