Today Citigroup made a surprise announcement that they are now providing a new service that tokenizes their deposits and turns them into an unique cryptocurrency, that is stored using blockchain technology, and allows for cross-border payments.
This move comes just after the Federal Reserve launched your instant transfer payment system FedNow in July – a system that allows for real-time transactions and payments in just seconds, at any moment at any time; which, according to prior statements from the Feds and the Biden administration, lays the foundation for a central bank digital currency (CBDC).
Interestingly Citi was not involved in the initial pilot program to test and rollout FedNow, but the Federal Reserve has indicated that they seek to have all U.S. banks and other financial institutions join FedNow.
Citi explains their breaking move in a press release published today:
Citi Treasury and Trade Solutions (TTS) announces the creation and piloting of Citi Token Services for cash management and trade finance. The service uses blockchain and smart contract technologies to deliver digital asset solutions for institutional clients. Citi Token Services will integrate tokenized deposits and smart contracts into Citi’s global network, upgrading core cash management and trade finance capabilities.
Institutional clients have a need for ‘always-on’, programmable financial services and Citi Token Services will provide cross-border payments, liquidity, and automated trade finance solutions on a 24/7 basis.
Shahmir Khaliq, Global Head of Services, said,
Digital asset technologies have the potential to upgrade the regulated financial system by applying new technologies to existing legal instruments and well-established regulatory frameworks.
The development of Citi Token Services is part of our journey to deliver real-time, always-on, next generation transaction banking services to our institutional clients.
This development goes hand-in-hand with our industry leading work on the Regulated Liability Network to create interoperable digital asset solutions on a multi-bank basis.
Citi Token Services For Trade
Citi worked with Maersk and a canal authority to digitize a solution that serves the same purpose as bank guarantees and letters of credit in the trade finance ecosystem. The pilot demonstrated programmable transfer of tokenized deposits that provided instant payments to service providers via smart contracts.
Marie-Laure Martin, Regional Treasury Manager for the Americas at Maersk, said,
We are pleased to have collaborated with Citi in the successful test pilots for the guarantee solution using digitized tokens and smart contracts. The innovative solution has promising applications for trade finance.
The technology used in the pilot provided a completely digital process to both buyers and sellers with instant payment capabilities, which is expected to reduce transaction processing times from days to minutes.
Citi Token Services For Cash
Citi Token Services has also been applied to a global cash management pilot, enabling clients to transfer liquidity between Citi branches on a 24/7 basis.
Ryan Rugg, Global Head of Digital Assets at Citi Treasury and Trade Solutions said,
Citi Token Services provides corporate treasurers with a new tool to manage global liquidity on a just-in-time, programmable basis. Frictions related to cut off times and gaps in the service window will be reduced. Our solutions within the Citi network are complemented by inclusive and open industry collaboration on initiatives like the Regulated Liability Network.
We are excited about both the potential for shared ledger technology to update Citi services, and the broader financial system in partnership with regulators and industry peers.
Compliant, Integrated And Seamless Technology Solutions
The private/permissioned blockchain technology used is owned and managed by Citi and clients will not be required to host a blockchain node to access the services.
Citi continues to develop digital asset solutions, in line with its goals and risk appetite, using a unified set of shared technology capabilities and a common strategic approach. These innovative solutions enhance Citi’s products and services including digital money, trade, securities, custody, asset servicing and collateral mobility.
Citi Treasury and Trade Solutions (TTS) helps enable our clients’ success by providing an integrated suite of innovative and tailored cash management and trade finance services to multinational corporations, financial institutions, and public sector organizations across the globe. Based on the foundation of the industry’s largest proprietary network with banking licenses in over 90 countries and globally integrated technology platforms, TTS continues to lead the way in offering a comprehensive range of digitally enabled treasury, trade, and liquidity management solutions.
Other megabanks have indicated that they will soon rollout something similar. Coin Telegraph noted in an article, ‘JPMorgan is also reportedly exploring the use of deposit tokens. That technology was pioneered in Project Guardian, launched in May 2022 by the Monetary Authority of Singapore, in which JPMorgan participated.’
As explained in a video report from Lena Petrova, CPA, citing other reports, Citi tested their new system with other world banks and the Federal Reserve, and found now there were no issues in converting the physical deposits into a digital dollar that then can be instantly transferred. This action indicates that the prospect of a CBDC is much father along than the Federal Reserve had led the public to believe.
AUTHOR COMMENTARY
This is major news that will get little to no press and will be swept under the rug, but it again emphasizes why I continue to warn people that they need to de-bank. This move represents that Citi, and obviously the other major players as well, can now readily and openly convert your dollar bills into a digital asset; and therefore means physical tender will start to incrementally disappear from the money supply and will be transformed into a solely a digitized asset on the blockchain.
This is clearly a move to further the CBDC agenda, there is no other way to look at it.
Thorns and snares are in the way of the froward: he that doth keep his soul shall be far from them.
Proverbs 22:5
[7] Who goeth a warfare any time at his own charges? who planteth a vineyard, and eateth not of the fruit thereof? or who feedeth a flock, and eateth not of the milk of the flock? [8] Say I these things as a man? or saith not the law the same also? [9] For it is written in the law of Moses, Thou shalt not muzzle the mouth of the ox that treadeth out the corn. Doth God take care for oxen? [10] Or saith he it altogether for our sakes? For our sakes, no doubt, this is written: that he that ploweth should plow in hope; and that he that thresheth in hope should be partaker of his hope. (1 Corinthians 9:7-10).
The WinePress needs your support! If God has laid it on your heart to want to contribute, please prayerfully consider donating to this ministry. If you cannot gift a monetary donation, then please donate your fervent prayers to keep this ministry going! Thank you and may God bless you.
Really superb information can be found on site. “It is fast approaching the point where I don’t want to elect anyone stupid enough to want the job.” by Erma Bombeck.
Hiya, I am really glad I have found this information. Today bloggers publish just about gossips and net and this is really annoying. A good web site with interesting content, this is what I need. Thank you for keeping this site, I will be visiting it. Do you do newsletters? Can’t find it.
I have been examinating out some of your articles and i can state clever stuff. I will make sure to bookmark your website.
You got a very good website, Gladiola I noticed it through yahoo.
Very wonderful visual appeal on this website , I’d rate it 10 10.
I do agree with all of the ideas you have presented in your post. They are really convincing and will certainly work. Still, the posts are too short for beginners. Could you please extend them a bit from next time? Thanks for the post.
Real nice style and good articles, nothing else we want : D.
I adore foregathering useful information , this post has got me even more info! .
The next time I read a blog, I hope that it doesnt disappoint me as much as this one. I mean, I know it was my choice to read, but I actually thought youd have something interesting to say. All I hear is a bunch of whining about something that you could fix if you werent too busy looking for attention.
Good write-up, I¦m regular visitor of one¦s web site, maintain up the excellent operate, and It’s going to be a regular visitor for a long time.
Hello my family member! I want to say that this post is awesome, great written and come with almost all vital infos. I’d like to look extra posts like this .
I think this is one of the most vital information for me. And i am glad reading your article. But want to remark on some general things, The website style is great, the articles is really excellent : D. Good job, cheers
I really appreciate this post. I have been looking everywhere for this! Thank goodness I found it on Bing. You’ve made my day! Thanks again
The Pink Salt Trick is a minimalist but effective morning routine: Just drink a glass of lukewarm water mixed with a pinch of Himalayan pink salt as soo
Very interesting points you have remarked, appreciate it for putting up.
Enjoyed looking at this, very good stuff, thanks. “Be not careless in deeds, nor confused in words, nor rambling in thought.” by Marcus Aurelius Antoninus.
The Pink Salt Trick is a minimalist but effective morning routine: Just drink a glass of lukewarm water mixed with a pinch of Himalayan pink salt as soo
The Pink Salt Trick is a minimalist but effective morning routine: Just drink a glass of lukewarm water mixed with a pinch of Himalayan pink salt as soo
Hey there, You’ve done an excellent job. I will definitely digg it and individually suggest to my friends. I’m confident they’ll be benefited from this web site.
Great – I should certainly pronounce, impressed with your site. I had no trouble navigating through all the tabs and related info ended up being truly easy to do to access. I recently found what I hoped for before you know it in the least. Quite unusual. Is likely to appreciate it for those who add forums or anything, website theme . a tones way for your client to communicate. Excellent task.
The Pink Salt Trick is a minimalist but effective morning routine: Just drink a glass of lukewarm water mixed with a pinch of Himalayan pink salt as soo
The Pink Salt Trick is a minimalist but effective morning routine: Just drink a glass of lukewarm water mixed with a pinch of Himalayan pink salt as soo
Great post. I was checking constantly this blog and I’m impressed! Extremely useful information specifically the last part 🙂 I care for such information a lot. I was looking for this certain information for a long time. Thank you and best of luck.
Greetings! Very helpful advice on this article! It is the little changes that make the biggest changes. Thanks a lot for sharing!
Aw, this was a really nice post. In idea I want to put in writing like this additionally – taking time and actual effort to make a very good article… however what can I say… I procrastinate alot and under no circumstances appear to get something done.
I just could not leave your web site prior to suggesting that I really loved the standard information an individual supply to your guests? Is gonna be again continuously to check up on new posts
Great write-up, I’m regular visitor of one’s website, maintain up the nice operate, and It is going to be a regular visitor for a long time.
It’s a pity you don’t have a donate button! I’d most certainly donate to this outstanding blog! I guess for now i’ll settle for bookmarking and adding your RSS feed to my Google account. I look forward to new updates and will share this website with my Facebook group. Chat soon!
Hi , I do believe this is an excellent blog. I stumbled upon it on Yahoo , i will come back once again. Money and freedom is the best way to change, may you be rich and help other people.
Pretty! This was a really wonderful post. Thank you for your provided information.
It’s in point of fact a nice and useful piece of information. I am glad that you just shared this useful info with us. Please keep us informed like this. Thanks for sharing.
What i don’t understood is actually how you’re no longer really a lot more well-preferred than you may be right now. You are so intelligent. You know thus considerably on the subject of this subject, produced me in my opinion imagine it from so many varied angles. Its like women and men aren’t involved unless it is one thing to do with Girl gaga! Your personal stuffs excellent. At all times care for it up!
Thanks for sharing excellent informations. Your web site is very cool. I’m impressed by the details that you have on this website. It reveals how nicely you understand this subject. Bookmarked this web page, will come back for more articles. You, my friend, ROCK! I found just the info I already searched all over the place and simply could not come across. What an ideal web site.
Hello very nice site!! Man .. Beautiful .. Wonderful .. I will bookmark your web site and take the feeds alsoKI am happy to seek out a lot of helpful information right here within the put up, we need work out more techniques in this regard, thanks for sharing. . . . . .
You can certainly see your enthusiasm in the paintings you write. The sector hopes for even more passionate writers such as you who aren’t afraid to say how they believe. At all times go after your heart. “The point of quotations is that one can use another’s words to be insulting.” by Amanda Cross.
What’s Happening i’m new to this, I stumbled upon this I have discovered It positively helpful and it has aided me out loads. I’m hoping to give a contribution & help other customers like its helped me. Great job.
Thanks for the update, can you make it so I receive an email sent to me whenever you publish a fresh update?
Thanks for every other wonderful post. Where else may just anyone get that kind of info in such a perfect manner of writing? I’ve a presentation next week, and I’m at the look for such information.
Hey, you used to write excellent, but the last few posts have been kinda boring?K I miss your great writings. Past several posts are just a bit out of track! come on!
I reckon something genuinely special in this website.
Spot on with this write-up, I truly think this web site needs rather more consideration. I’ll probably be once more to read far more, thanks for that info.
I was looking through some of your blog posts on this internet site and I believe this site is really instructive! Continue posting.
Perfectly pent articles, thanks for selective information.
excellent post, very informative. I’m wondering why the opposite specialists of this sector do not realize this. You should proceed your writing. I am confident, you have a huge readers’ base already!
Good write-up, I’m regular visitor of one’s web site, maintain up the nice operate, and It is going to be a regular visitor for a lengthy time.
I do not even know how I ended up here, but I thought this post was good. I don’t know who you are but definitely you’re going to a famous blogger if you aren’t already 😉 Cheers!
I like this website because so much useful stuff on here : D.
Good website! I truly love how it is easy on my eyes and the data are well written. I’m wondering how I could be notified whenever a new post has been made. I’ve subscribed to your RSS which must do the trick! Have a nice day!
Hello! This is my first visit to your blog! We are a collection of volunteers and starting a new initiative in a community in the same niche. Your blog provided us valuable information to work on. You have done a outstanding job!
Interesting blog! Is your theme custom made or did you download it from somewhere? A theme like yours with a few simple tweeks would really make my blog shine. Please let me know where you got your design. Kudos