China CITIC Bank International (CNCBI) has successfully tested tokenised deposits for gold trading settlement ahead of a planned 2027 launch.

The bank conducted the pilot with the Hong Kong Gold Exchange (HKGX) and announced its completion during Hong Kong Fintech Week.

The pilot tested delivery-versus-payment (DvP) settlement, which links the transfer of gold to the corresponding payment.

This reduces the risk of one party delivering an asset without receiving payment.

CNCBI’s tokenisation platform is connected to the Hong Kong Monetary Authority’s (HKMA) Project Ensemble.

The bank tested both intrabank settlement and interbank transfers through the platform.

Gold Trades Could Soon Settle 24/7

The system uses distributed ledger technology to support round-the-clock settlement, allowing transactions to take place outside traditional banking hours.

Smart contracts can also automate transactions once predefined settlement conditions are met.

Project Ensemble enables the platform to connect with other participating banks for interbank settlement.

CNCBI has served as HKGX’s sole settlement bank since 2025.

The proposed service would give HKGX members another settlement option alongside traditional bank deposits.

CNCBI also plans to extend the service to a wider range of HKGX products.