HSBC plans to expand its tokenized deposit service to the US and UAE markets Odaily Planet Daily News: According to Bloomberg, HSBC has announced plans to start providing tokenized deposit services (TDS) to its corporate clients in the United States and the United Arab Emirates (UAE) in the first half of next year, in order to expand its application in the blockchain payment field. Service scope: TDS allows enterprise clients to complete local and cross-border fund transfers 24/7 within seconds, significantly improving liquidity management efficiency. This service has been launched in Hong Kong, Singapore, the United Kingdom, and Luxembourg, and supports transactions in Euro, Pound Sterling, US Dollar, Hong Kong Dollar, and Singapore Dollar. New currency: As its business expands to the Middle East, HSBC will increase its support for UAE dirhams next year. Tokenized deposits vs. stablecoins: tokenized deposits are digital notes issued by banks, representing a claim on existing deposits, belonging to the existing banking system, and can pay interest. Unlike stablecoins typically issued by non bank entities and supported by high-quality liquid assets, tokenized deposits are more attractive to corporate clients holding large amounts of funds due to their traditional regulatory constraints. Future outlook: HSBC plans to expand the application scenarios of tokenized deposits in programmable payments and autonomous fund management systems (utilizing automation and AI to manage cash and liquidity risks). In addition, HSBC is researching the stablecoin industry and negotiating with some issuers to provide reserve management and settlement account services, but has not ruled out the possibility of issuing stablecoins independently or jointly with other banks in the future.