Germany has one of the most advanced interbank tokenized deposit projects, the Commercial Bank Money Token (CBMT) initiative. Three firms are now joining as Technical Service Providers – the UDPN DLT payment network, IT consultants GFT, and central bank supplier G+D.

While many think of tokenized deposits as JP Morgan’s Kinexys Digital Payments or Citi Token Services, these only work between clients of those banks. It’s far more challenging to have tokenized deposits that work across banks. Additionally, CBMT isn’t limited to operating on a single network – it’s designed for bank tokens to function across multiple corporate and institutional blockchain platforms.

So far the CBMT trials have been coordinated by the German Banking Industry Committee and last year they collaborated with the Federation of German Industries for a proof of concept (PoC), highlighting its initial target market of large enterprises, especially industrials. Five banks participated (DZ Bank, Deutsche Bank, Commerzbank, UniCredit and Helaba) in the PoC alongside five enterprises (Airplus, BASF, Evonik, Mercedes Benz and Siemens).

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