In a significant move that leverages blockchain technology for cross-border transactions, Ant International and Standard Chartered Bank have announced the successful completion of liquidity transfers via Ant’s blockchain-based platform. The bank tapped into Ant’s Whale platform to facilitate these transfers. Whale, a blockchain-powered treasury solution, is engineered to offer efficient liquidity management, particularly for cross-border transfers, and is known for its instantaneous transfers, cost-effectiveness, and transparency.
While specifics of the transaction such as the entities involved were not disclosed, it was revealed that the liquidity transfers were conducted in Singaporean dollars. Although Whale has been predominantly used for transactions denominated in Hong Kong dollars, the platform is currency-agnostic and can be tailored according to the specific requirements of the client.
Mahesh Kini, Standard Chartered’s global head of cash management, expressed his satisfaction with the successful transaction, stating, “Blockchain technology is revolutionizing treasury management, and we are pleased to be early adopters of its use cases to enable our clients to take advantage of its extensive benefits.”
This collaboration marks the first successful settlement between Ant International and Standard Chartered Bank in Singapore. However, the two financial giants have previously conducted similar trials in Hong Kong. Just a week ago, they announced the successful completion of the first HKD-denominated settlement via Whale, part of Hong Kong’s Project Ensemble, which explores the use of a wholesale central bank digital currency (CBDC) in innovative use cases.
Ant originally developed Whale for internal use, to facilitate the seamless transfer of funds across its many subsidiaries. The platform has since been extended to other multinational corporations that require similar services. Among Whale’s clientele are notable banks such as BNP Paribas and HSBC.
In a recent development, Ant also announced that Singapore’s second-largest bank, OCBC, will integrate Whale into its operations. This follows a similar move by DBS, which partnered with Ant two months ago to issue “DBS Treasury Tokens”.
In a related development, Japan’s financial sector watchdog, the Financial Services Agency (FSA), has proposed new measures aimed at enhancing digital asset protections. The proposal involves the addition of an “asset retention order” to the Payment Services Act, thereby prohibiting digital asset trading platforms from transferring local customers’ assets outside the country. This measure comes in light of the FTX debacle and is designed to prevent a similar occurrence.
Japan has been particularly cautious in its approach to digital asset regulation since the collapse of Mt. Gox in 2014 and the $500 million Coincheck exchange hack in 2018. This prudent approach has seen Japan abstain from the global digital asset spot ETF fever, a trend that is unlikely to change in the near future.
Between these new collaborations and proposed regulations, it is clear that the world is rapidly embracing blockchain technology and digital assets, with safeguards in place to ensure the protection of individual investors.
