BNY Plans 24/7 US Treasury Settlement With Tokenisation Pilot by End of 2026

BNY has informed clients it intends to support around-the-clock settlement of US Treasuries, combining an expansion of its existing traditional settlement infrastructure with a planned tokenisation pilot on its private blockchain. The bank aims to launch the tokenised Treasury pilot before the end of 2026 and to offer 24/7 settlement for both conventional and tokenised Treasuries from 2027, while broadening its traditional rails for Federal Reserve-eligible securities later this year.

The bank has already demonstrated the concept in practice. Earlier in 2026, BNY settled a Treasury transaction after the Federal Reserve’s Fedwire Securities Service had closed, with Ripple (issuer of the RLUSD stablecoin) and Dreyfus acting for OpenEden (issuer of the USDO stablecoin) as the counterparties. The trade was executed on Tradeweb and settled using conventional cash processes, not tokenised rails, underscoring that the underlying enabler was BNY’s custodial position rather than any new distributed ledger technology.

What that after-hours settlement actually demonstrates is the structural leverage that comes from BNY’s hub role. The bank is the dominant triparty agent for US repo, supporting $24.3 trillion in average daily clearance and processing $2.5 trillion in payments each day. It also custodies the reserve assets backing USDC, RLUSD, and USDO, making it the de facto balance sheet for stablecoin reserves. When both sides of a transaction already sit inside BNY’s custody, settlement after Fedwire hours can clear on BNY’s own books in commercial bank money, bypassing the need for central bank settlement. That constraint, limited to counterparties already in-house and settling in commercial bank money rather than at the central bank, is the key boundary operators should track as the 2027 rollout approaches.