How banks can profit from the digital currency race

Finextra and consulting firm CGI will host an online webinar to examine how banks can adapt systems and processes to offer stablecoins, central bank digital currencies (CBDCs) and tokenised deposits. Moderator Scott Hamilton will lead a panel of industry experts. Registration information is available through Finextra.

The session will map the infrastructure and process differences among CBDCs, stablecoins and tokenised deposits. CBDCs typically depend on central bank systems and access to central bank accounts. Stablecoins are usually issued by private entities and require custody arrangements and merchant onboarding. Tokenised deposits record bank liabilities on distributed ledgers, with banks controlling issuance and redemption mechanics.

Speakers will cover the bank role in on- and offboarding, the technical and accounting mechanics of minting and burning tokens, and how each model changes the relationship between banks, clients and wholesale partners.

The webinar will address settlement and liquidity implications when digital money is used for near real-time transactions. Banks will face tighter intraday liquidity management where settlement finality shifts to faster or alternative rails. Panelists will discuss how existing real-time payment systems affect liquidity, how tokenised instruments could increase demand for immediate funding, the possible need for new liquidity buffers and changes in access to central bank settlement accounts. The discussion will include interoperability challenges across bank systems, private ledgers and central bank networks.

Speakers will identify operational costs that can be overlooked in digital currency projects. Topics include integrating legacy systems with distributed ledger platforms, continuous monitoring of smart contracts and token flows, compliance and legal work to meet anti-money laundering and sanctions rules, and the need to hold additional reserves to support minting and redemption. Custody, insurance and reconciliation work are expected to add ongoing expenses beyond initial build costs.

Control and third-party dependencies will be examined. The panel will note which functions banks typically retain-client onboarding and KYC, credit assessment, fiat on- and off-ramps, custody of client assets held off-ledger and settlement finality where banks hold reserves-and which functions often lie outside bank control, such as network infrastructure, ledger maintenance, smart contract code and token issuance by non-bank providers. The session will consider how existing outsourcing frameworks apply and where new vendor oversight and contracts will be needed.

Regulatory uncertainty and cross-border governance will be discussed as operational constraints. Panelists will cover how banks can maintain internal guardrails and compliance controls while operating under multiple legal regimes with different rules for token issuance, custody and client protection. The U.S. GENIUS Act will be referenced as a factor that has renewed policy momentum on stablecoin frameworks.

The webinar will also examine commercial opportunities for banks, including asset tokenisation for securities and deposits, new custody services, liquidity provision on token networks and integrating token-based rails into existing payment systems. Organisers say the session will focus on concrete infrastructure and implementation questions as regulatory frameworks continue to develop.