Singapore's biggest bank DBS introduces 'Token Services' to enable blockchain-based banking

DBS Bank, the largest bank in Singapore by assets, has rolled out a suite of new services dubbed “DBS Token Services” as the bank continues to develop blockchain-based options for institutional clients. In a statement shared with The Block, DBS said that the new banking products integrated tokenization and smart contract-enabled capabilities with its existing banking services. 

The DBS Token Services integrated the bank’s Ethereum Virtual Machine-compatible permissioned blockchain, its core payment engine and multiple industry payment infrastructures, according to the statement. Also, smart contracts enable programmability for institutions to govern the use of funds. Specifically, the new services include Treasury Tokens, Conditional Payments, and Programmable Rewards.

Lim Soon Chong, group head of global transaction services at DBS Bank, said that DBS Token Services enables companies and public sector entities to “optimize liquidity management, streamline operational workflows, strengthen business resilience, and unlock new opportunities for end-customer or end-user engagement.”

DBS introduced Treasury Tokens in August in partnership with Ant International, allowing multinational corporations to settle multi-currency intra-group transactions around the clock.

DBS also intends to explore further applications of Conditional Payments, designed to improve payment workflows. Another feature, called Programmable Rewards, allows institutions to curate digital voucher programs.

“Using a permissioned blockchain provides DBS full control over these services, enabling the bank to harness the benefits of blockchain technology while adhering to compliance standards,” the bank said.