Ant Group is getting into crypto? Check out how they’re making waves!

While you’re still stressing over Bitcoin’s price fluctuations, Ant Group has quietly been paving its way into the world of cryptocurrencies. Yes, the same Ant Group that brought you Taobao! On August 13, 2024, Ant Group’s international arm, Ant International, announced a mysterious yet not so mysterious collaboration with Singapore’s DBS Bank. The partnership involves a pilot project for the “DBS Treasury Tokens.” It sounds flashy, but what’s really behind this token? Let’s lift the veil on this cryptocurrency!

DBS Bank + Ant International = A New Crypto Power Couple?

The crux of this partnership is to leverage blockchain technology to optimize Ant International’s global cash and liquidity management. It sounds impressive, but put simply, they aim to make money flow faster, more securely, and more smoothly within their own network. In the past, international payments and financial settlements often felt like squeezing every penny. Now, Ant International and DBS Bank are out to change the rules of the game.

Blockchain technology, especially the “permissioned blockchain” used here, acts like a highway built just for the family. No need to compete for lanes or worry about traffic jams. What used to take days for internal group settlements can now be completed in seconds using the “DBS Treasury Tokens” system. Yes, seconds! It’s like upgrading from a “slow-moving ox cart” to a “supersonic jet.”

How to Make Money Move Faster?

You might be wondering, “So how exactly does this speed up transactions?” Let’s use “Ant Group’s internal money” as an example.

Traditional Settlement: If Ant International wants to transfer money from one branch to another, it first involves running to banks and then clearing institutions, with back-and-forth delays stretching over days before the funds are finally settled. It’s like moving Bitcoin between wallets—requiring verification, confirmation, and re-confirmation… exhausting, right?

Blockchain Settlement: Now, with the “DBS Treasury Tokens” used by DBS Bank and Ant International, these tokens act as “digital cash” within the group. To make a payment, a company initiates a transaction on the blockchain, and the system automatically executes a smart contract. Within seconds, the receiving company gets the “digital cash.” The process is as simple and quick as a Bitcoin transaction on the blockchain, with no worries about intermediaries “taking your lunch money.”

How Are These Tokens Used?—Instant Refunds and Cross-Border Payments for SMEs

Let’s dive into the practical applications of the “DBS Treasury Tokens,” particularly those that might make Bitcoin investors smile.

Instant Refunds: We all know refunds can be a hassle. When shopping, merchants first deduct taxes, then you fill out forms and wait weeks to get your money back. Now, with blockchain technology and digital tokens, Ant International has turned refunds into a “quick and easy” process. When you shop, the system automatically generates a refund request. Once the smart contract is validated, the refund (in the form of digital tokens) is sent to you within seconds. It’s a bit like Bitcoin’s “instant transfer.” This efficiency boosts consumer convenience while saving time for merchants and tax authorities.

Cross-Border Payments for SMEs: For small business owners who dread high fees and long waits for cross-border payments, traditional systems feel like medieval horse-drawn carriages—slow and costly. Ant International and DBS Bank’s partnership is like swapping that carriage for a rocket engine—lower fees and faster speeds! With blockchain, SMEs can use digital tokens for multi-currency payments, completing transactions in seconds without the hassle of bank procedures. This efficiency boost feels like bringing the “Lightning Network” directly to business payments. Cross-border payment solutions using blockchain are already emerging in Singapore and Hong Kong, with platforms like Singapore’s BiyaPay leading the way. BiyaPay allows global remittance and investment, supporting over twenty fiat currencies and two hundred digital currencies, facilitating global asset exchange and transfers in real-time.

From Pilot to Full Launch—How Long Will It Take?

With all this in mind, we have to ask: “When can we officially experience this service?” This is not an overnight process. The pilot project between Ant International and DBS Bank will follow the usual timeline of 1.5 to 3 years.

Step One: Pilot Phase (3-12 months)—They will start with a small-scale test to ensure the “highway” is smooth and secure. Any “minor issues” will be addressed during this phase.

Step Two: Expansion and Optimization (6-18 months)—Once the pilot is successful, they will scale up, adding more markets and users. At this stage, technical optimization and compliance checks are crucial. After all, to keep the “rocket” steady, international “traffic rules” must be considered.

Step Three: Full Launch (6-12 months)—The final step is global rollout. Gradually introducing the system to the global market will enable every business and consumer to benefit from this innovation.

A New Toy in the Crypto World

For Bitcoin enthusiasts, Ant Group’s latest move might spark a bit of envy. After all, who wouldn’t want their assets to move faster, more securely, and more efficiently on the blockchain? For Ant Group and DBS Bank, this partnership undoubtedly builds a bridge between traditional finance and cryptocurrency, showcasing more possibilities for future payments and financial management.