HSBC and Ant International have completed HKD-denominated cross-bank test transactions using blockchain technology under the Hong Kong Monetary Authority’s (HKMA) Ensemble Sandbox.
This is the first successful cross-bank transaction within the Sandbox’s Liquidity Management theme.
Ant International’s Whale platform enabled these transactions by linking HSBC and Hang Seng Bank’s networks to allow 24/7 real-time cross-bank transfers.
The platform, described as a “next-generation treasury management solution,” uses blockchain, advanced encryption, and AI to increase efficiency and transparency in fund movements, streamlining corporate treasury processes and reducing working capital needs.
The Sandbox is part of Project Ensemble, an HKMA initiative focused on wholesale central bank digital currency (wCBDC) and developing tokenised assets in Hong Kong.
Through it, companies like Ant International and HSBC are exploring solutions for tokenised settlements.
HSBC’s participation builds on its previous proof-of-concept (PoC) cases under Project Ensemble, including interbank payment settlement, tokenised bond settlement, and tokenised electronic bill of lading.
This collaboration follows a 2023 pilot in which HSBC and Ant Group tested tokenised deposits for intra-group payments—a first for Hong Kong.
HSBC also recently issued the world’s first multi-currency digital bonds, reflecting its continued commitment to tokenisation.
Vincent Lau, Global Head of Digital Money, Global Payments Solutions, HSBC, said,
“The achievement further exemplifies HSBC’s advanced digital money capabilities, building upon our three previous use cases on interbank payment settlement, tokenised bond settlement and tokenised electronic bill of lading settlement.
The latest test case demonstrates the potential of tokenised deposits in facilitating real-time cross-bank corporate treasury management through the Ensemble interoperability platform.”
Kelvin Li, Head of Platform Tech at Ant International, said,
“We are pleased to see the initial results of our collaboration with HSBC, and the potential it has for enabling real-time cross-bank transactions for businesses.
Together with leading banks such as HSBC, we will continue to expand the scalable adoption of our Whale platform through industry-leading collaborations under Project Ensemble, so we can better support businesses’ cross-border and global treasury needs.”
Featured image credit: Edited from Freepik