Banking giant the Hong Kong and Shanghai Banking Corporation (HSBC) has tested the use of tokenized deposits — from issuance to transfer to redemption — with major Chinese financial services provider Ant Group, founded by Jack Ma, in a sandbox arranged by the Hong Kong Monetary Authority.
The initiative led by the banking institutions aimed to explore the potential of deposit tokenization in enabling always-on, real-time treasury fund movement between accounts held by a corporation within the HSBC network.