Swift has announced the successful completion of a major digital asset interoperability pilot in collaboration with BNP Paribas Securities Services, Intesa Sanpaolo, and the blockchain arm of Société Générale, FORGE.
The landmark trial demonstrates how tokenized bonds can be seamlessly issued, exchanged, settled, and serviced across both traditional financial systems and blockchain platforms, all while facilitating payments in fiat currency and digital currencies, including stablecoins.
Swift's Focus on Tokenized Assets
Swift's recent work with Chainlink and UBS Asset Management has successfully demonstrated that connecting tokenized assets to existing payment rails is possible.
Swift reportedly worked closely with SG-FORGE, leveraging their digital asset platform and euro-denominated stablecoin EURCV. This trial was focused on critical capital markets processes, including delivery-versus-payment settlement of tokenized bonds, interest payouts, and redemption of the bonds, and support for fiat and stablecoin payments.
BNP Paribas Securities Services and Intesa Sanpaolo played critical roles during the trial, acting as paying agents and custodians, handling standard institutional functions, and in the process, confirming that tokenized assets can integrate with established market roles and infrastructure.
This trial has been described as the first time Swift has orchestrated tokenized asset transactions as a single coordinated process bridging blockchain and traditional finance systems.
The pilot has also highlighted Swift’s goal of acting as a neutral coordination layer between traditional finance systems and emerging blockchain ecosystems. It builds on Swift’s broader montage of digital asset experiments, which have involved various partners, including UBS and Chainlink, while leveraging standards like ISO 20022.
Future Developments Following the Swift Pilot
Following the series of successful trials, Swift is now focused on adding a blockchain-based ledger to their technology infrastructure.
This ledger is expected to initially focus on enabling real-time, 24/7 cross-border payments, designed in collaboration with over 30 banks worldwide.
"In a multi-modal world where new assets and platforms are proliferating, we’re working alongside our community to drive a new era of interoperability. Our aim is to seamlessly interconnect emerging networks and new forms of value, delivering a best-in-class experience aligned with the G20 objectives for cross-border payments."
All of that is supposed to be built on a critical foundation of trust and operational excellence, enabling instant and frictionless transactions across the global financial ecosystem.
The move is a significant step towards the mainstream adoption of tokenization in capital markets and is expected to connect fragmented digital ecosystems without needing existing institutions to abandon their current rails and models.