HSBC has expanded its digital banking capabilities in the United Arab Emirates with the launch of its Tokenised Deposit Service (TDS), introducing blockchain-enabled money movement designed to support faster treasury operations and cross-border payments. The launch extends the bank’s digital money network into the Gulf, allowing eligible corporate and institutional clients to transfer funds 24 hours a day, seven days a week, both domestically and internationally, within a regulatory-compliant environment. The service combines the familiarity and security of traditional bank deposits with the speed, transparency and automation offered by blockchain technology, enabling businesses to move funds instantly between treasury centres and subsidiaries while improving liquidity management and supporting global commerce.
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Advancing digital finance
Mohamed Al Marzooqi, Chief Executive Officer of HSBC Bank Middle East Limited in the UAE, said the launch represents another significant step in the evolution of money movement, adding that the UAE is well positioned to lead this transformation due to its advanced regulatory framework for digital finance and growing corporate demand for more sophisticated treasury solutions. With the addition of the UAE dirham, the Tokenised Deposit Service now supports euros, pound sterling, U.S. dollars, Hong Kong dollars and Singapore dollars, further connecting the Gulf to global trade and investment flows.
Kyle Boag, Regional Head of Global Payments Solutions for HSBC MENAT, said demand for secure, always-on liquidity solutions continues to grow as businesses operate in an increasingly digital global economy, describing tokenized deposits as a natural extension of HSBC’s digital asset strategy. The bank said the platform offers several operational benefits, including accelerated settlement within the tokenized deposit network, continuous availability for domestic and cross-border transfers, more efficient working capital management, compatibility with existing banking and treasury systems, improved real-time cash visibility, reduced manual processing through straight-through processing, and expanded regional currency coverage.
As part of its broader digital asset strategy, HSBC said it will continue investing in interoperable financial infrastructure that connects traditional banking systems with emerging digital networks, supporting applications such as blockchain-enabled treasury management, settlement of tokenized assets and integration with regulated digital money solutions. The service is available to eligible HSBC corporate and institutional clients in the UAE, subject to applicable approvals, documentation and onboarding requirements.
