Major US Banks Plan Tokenized Deposit Network for 2027 Launch

A group of major U.S. banks, including JPMorgan Chase and Citigroup, is planning to launch a shared tokenized deposit network by the first half of 2027. The network, which will run on the Clearing House, aims to enable instant, 24/7 settlement of traditional deposits between banks. Known internally as "the bridge" or "the chain," the project is designed to extend bank transfers beyond standard business hours, offering real-time transactions and improved liquidity management.

The initiative is expected to initially serve large multinational companies, providing faster payments and streamlined treasury operations. David Watson, Chief Executive of the Clearing House, described the effort as a "big move for the banks," highlighting the industry's shift toward on-chain payments and finance. The project builds on existing tokenization efforts, such as JPMorgan's JPM Coin, which launched on the Base layer-2 network in November 2025.

Other banks, including BNY, have also introduced tokenized deposit services, while DBS and Kinexys by JPMorgan are developing interoperability frameworks to facilitate cross-system transactions. This collective push toward tokenization reflects a broader industry trend toward integrating blockchain technology into traditional banking systems.