US Banks to Launch Tokenized Deposit Network by 2027 in Blockchain Push

JPMorgan Chase, Citigroup, Bank of America, and Wells Fargo are collaborating through The Clearing House to build a shared tokenized deposit network, targeting a 2027 launch. The system will operate on blockchain infrastructure, enabling 24/7 movement of tokenized customer deposits with instant settlement.

The initiative—internally dubbed "the bridge" or "the chain"—represents a strategic shift toward on-chain finance while preserving existing regulatory frameworks. Unlike stablecoins, tokenized deposits remain within the insured banking system, mitigating disintermediation risks that have escalated with the rise of alternative digital assets.

Clearing House CEO David Watson emphasized the project's transformative potential: "This is a big move for the banks. The future of payments and finance will be radically different on-chain." No blockchain partner has been selected yet.