The Clearing House, the bank-owned company that operates the core U.S. payments networks, said on September 24 that it selected Quant to build the technology behind its On-Chain Money Initiative, a planned network that will let financial institutions of all sizes clear and settle tokenized deposit transactions. The selection was announced in a statement on the company’s website, which described Quant as a provider of programmable-money infrastructure.
What the tokenized deposit network will do
The On-Chain Money Initiative, first announced in June, is designed to support payments that settle immediately and transactions that trigger automatically once agreed conditions are met, reducing manual work and delays for banks and their customers. Tokenized deposits are digital representations of a financial institution’s deposit that retain the protections and regulatory oversight of a traditional deposit, but are recorded and moved differently. For businesses, The Clearing House said, that means liquidity and payments processed around the clock; for financial institutions, it means joining a shared network rather than building one alone. The company expects the network to create new opportunities across corporate treasury, liquidity management, cross-border payments and digital asset settlement.
Quant’s role in the network
Quant will provide the network’s interoperability, orchestration and transaction-management layer, the software that coordinates the clearing and settlement of tokenized deposits while connecting them to the fiat payment rails institutions already use, including The Clearing House’s RTP and CHIPS networks. Quant said its technology has already been deployed in regulated environments with central and commercial banks in the U.K. and elsewhere. “Building interbank infrastructure for tokenized deposits requires proven technology that can scale,” said Sal Karakaplan, chief strategy officer of The Clearing House. Gilbert Verdian, Quant’s founder and chief executive, called the selection “a defining step in the global transition to programmable money.”
A 2027 rollout, with the details still open
The network is expected to become available to participating institutions in the first half of 2027, with additional details on participation and use cases to be announced as development progresses. The selection puts The Clearing House, whose networks clear and settle more than $2 trillion each day, alongside other bank-led efforts to move deposits on-chain. Six Canadian banks are exploring a similar tokenized deposit initiative, and the European Central Bank has launched its Pontes platform to settle tokenized assets in central bank money. The Clearing House has not yet said how many institutions will join at launch.
