Canada’s Major Banks Launch Joint Tokenized Deposit Initiative for Faster Interbank Transfers

Canada’s six largest banks are developing a Canadian‑dollar tokenized deposit platform intended to accelerate inter‑institution transfers and later integrate with broader digital‑asset efforts, according to an announcement from TD Bank on Tuesday.

The initiative brings together Bank of Montreal, Canadian Imperial Bank of Commerce, National Bank of Canada, Royal Bank of Canada, Scotiabank and TD Bank Group. Their joint venture’s initial phase will facilitate the transfer of tokenized deposits among the participating banks, with the possibility of additional institutions joining in the future.

“The first stage will enable efficient movement of tokenized deposits across Canadian financial institutions, while a longer‑term objective is to link the system with other emerging digital‑asset initiatives,” the banks stated.

Collectively referred to as Canada’s Big Six, these institutions dominate the national banking landscape, providing services that range from retail and commercial banking to capital markets and wealth management.

The banks said the project will deliver quicker, more efficient and programmable payment options for Canadian customers, all while maintaining financial stability and adhering to regulatory oversight.

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