In a strategic move to embrace digital transformation, Citi Treasury and Trade Solutions, a division of Citigroup, has introduced Citi Token Services, aimed at revolutionizing cash management and trade finance. Leveraging blockchain and smart contract technologies, the new service is designed to provide digital asset solutions tailored to institutional clients, according to an official statement from the financial giant.
Citi Token Services is set to seamlessly integrate tokenized deposits and smart contracts into Citi’s extensive global network, effectively upgrading core functionalities within the realm of cash management and trade finance. The initiative aligns with Citi’s vision of delivering always-on, programmable financial services to meet the evolving demands of institutional clients, offering solutions such as cross-border payments, liquidity management, and automated trade finance capabilities, all available 24/7.
Shahmir Khaliq, the global head of services at Citi, emphasized the potential of digital asset technologies to enhance the regulated financial system by blending cutting-edge technologies with established legal instruments and regulatory frameworks. Khaliq described the development of Citi Token Services as a significant step toward providing real-time, next-generation transaction banking services.
Furthermore, Citi highlighted its collaboration with Maersk and a canal authority to digitize a solution that serves the same purpose as traditional bank guarantees and letters of credit in the trade finance ecosystem. The successful pilot demonstrated the programmable transfer of tokenized deposits, enabling instant payments to service providers through smart contracts. Marie-Laure Martin, regional treasury manager for the Americas at Maersk, expressed satisfaction with the collaboration.
In addition to trade finance, Citi Token Services has been implemented in a global cash management pilot, enabling clients to transfer liquidity between Citi branches around the clock.
Citi’s global footprint extends to nearly 160 countries and jurisdictions, serving as a banking partner for institutions with cross-border needs while also specializing in wealth management and personal banking within the United States.
Dow Jones Enhances Risk Management with AI-Powered Solution
Dow Jones Risk & Compliance has unveiled a powerful tool in the fight against financial crime and risk management. The new offering, known as RiskCenter Advanced Screening and Monitoring, harnesses the capabilities of artificial intelligence (AI) and machine learning alongside comprehensive risk data.
Dow Jones explained that this solution is tailored to optimize anti-money laundering, sanctions, and anti-corruption compliance, bringing a new level of transparency to risk management workflows. Financial institutions and corporations will benefit from the ability to swiftly and effectively screen customers and third parties on a large scale.
Joel Lange, the general manager of risk and research at Dow Jones, emphasized the increasing complexity of the legislative landscape, making it imperative for organizations to identify and assess risks rapidly and efficiently.
To bolster this innovative solution, Dow Jones draws upon data from multiple sources, including its proprietary structured risk data and unstructured textual information from thousands of licensed news sources available on the Factiva business intelligence platform.
This strategic development aligns with Dow Jones’s ongoing partnership with Ripjar, following a minority equity investment earlier this year. Together, these companies have collaborated since 2018 to empower financial institutions and major corporations in their efforts to combat criminal activities and mitigate risks.
