BNY and Citadel complete triparty repo using tokenized Treasury
How the trade worked
BNY and Citadel Securities completed a triparty repo using a tokenized 2-year U.S. Treasury. The token settled on BNY’s private digital ledger in minutes, far faster than the usual T+1 settlement cycle. Citadel then used that tokenized Treasury as collateral for an overnight triparty repo, receiving cash from BNY.
Key numbers
- 2-year U.S. Treasury note (tokenized)
- Settlement time: minutes (vs standard T+1)
- Repo type: overnight triparty
- Participants: BNY and Citadel Securities
- Date of transaction: October 14, 2026
What BNY said
BNY’s Chief Innovation & Market Transformation Officer, Carolyn Weinberg, commented, “This transaction demonstrates what becomes possible when tokenized assets are used in institutional workflows. By using a tokenized representation of a U.S. Treasury across both settlement and financing, we are enabling a more connected, efficient, and always-on financial system.”
Broader industry moves
BNY launched a tokenized deposit service for institutional clients in January 2026, and other major banks are pursuing similar infrastructure. JPMorgan introduced JPM Coin in late 2025, and a consortium of U.S. banks plans a tokenized deposit network in the first half of 2027.
Why this matters
This is the first time a tokenized asset has been used on a major triparty repo platform, showing that tokenization can be integrated into core Treasury market workflows. The rapid settlement and ability to use tokens as collateral highlight potential efficiency gains for institutional finance.
Future plans
BNY expects to add more digital cash and tokenized deposit capabilities and expand settlement platform operating hours to European and Asian markets next year.
Sources
Newisty Editorial Team covers technology, cryptocurrency, digital products, online platforms, developer tools and the wider digital economy. Our content is researched from official sources, company announcements, public documentation, market data and other primary or reputable sources. Articles are reviewed and edited before publication for clarity, accuracy and useful context.