Shoko Chukin Bank to pilot deposit-token trade settlements in 2023

Shoko Chukin Bank in Japan will begin a pilot test for trade settlements using deposit tokens this year. The bank plans to develop the payment system in collaboration with DCP, a deposit-token infrastructure company, and STANDAGE, a trade support firm. The system will utilize Shoko Chukin-issued deposit token DCJPY for settlements, aiming to streamline payment and the transfer of electronic bills of lading. In the pilot, an overseas exporter will upload trade documents, allowing a Japanese importer to make payments with deposit tokens. DCP estimates that the bill of lading issuance and receipt process could be reduced by up to five business days. The companies aim to commercialize the system by fiscal 2028, targeting small and mid-sized businesses as primary users.