The Clarity Act slipped to September. Banks are building anyway
Major financial institutions are increasingly adopting tokenized deposits and on-chain settlement systems to modernize commercial banking. While regulatory clarity remains pending, banks are building infrastructure to move money and collateral more efficiently.
Why it matters
The shift toward tokenized deposits signals a fundamental change in how traditional banking institutions handle institutional payments and cross-border treasury.
They are issuing tokenized deposits, testing onchain settlement, and working out how to move commercial bank money on new, compliant rails. The question has moved past whether banks will put deposits onchain. They already are.
The question now is whether the systems they are building can talk to one another. And that is the one question no bill in Congress can answer.
JPMorgan has moved institutional payments through its Kinexys platform for years, reporting more than $3 trillion in cumulative transaction volume, and now offers JPMD, a deposit token for institutional clients. Citi runs Token Services for cross-border treasury across four markets. In June, seventeen major financial institutions, including JPMorgan, Bank of America, Citi and Wells Fargo, announced that The Clearing House will clear and settle tokenized deposits onchain, with a reported target of 2027.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in