Citigroup Unveils Token Services for Institutional Clients
CoinDesk
19 Sep 2023 9:26 AM
In a pilot, Citi used smart contracts to serve the same purpose as bank guarantees and letters of credit working with shipping company Maersk and a canal authority....
- Citigroup has launched a tokenization service for cash management and trade finance using blockchain technology and smart contracts.
- The smart contracts will replace bank guarantees and letters of credit, streamlining processes that are typically time-consuming and manual.
- The bank collaborated with Maersk and a canal authority in a pilot project to test the efficiency of the system.
- Citi Token Services will offer cross-border payments, liquidity, and automated trade finance solutions to institutional clients on a 24/7 basis.
- Citigroup predicts that the tokenization of digital securities will become a $4 trillion-$5 trillion market by 2030.
The article highlights Citigroup's innovative tokenization service using blockchain technology and smart contracts, which is expected to bring efficiency and convenience to cash management and trade finance processes. The sentiment is positive, emphasizing the potential benefits for institutional clients.
You May Ask
What is Citigroup's tokenization service for institutional clients?How will smart contracts replace bank guarantees and letters of credit?Which companies did Citigroup collaborate with in a pilot project to test the new system?What financial services will Citi Token Services provide on a 24/7 basis?What is Citigroup's prediction for the market size of tokenized digital securities by 2030?