HSBC and Standard Chartered Execute First Interbank Deposit Token Transaction on SWIFT Shared Ledger

HSBC reported a 23% rise in first-half profit to $19.5B, beating estimates, and resumed buybacks. UBS posted a 17% profit increase to $2.8B but faces a $125M U.S. fine. HSBC raised net interest income guidance and added 640K clients. UBS announced a $3B buyback but faces regulatory and capital rule uncertainties.

HSBC and Standard Chartered completed the first live interbank transaction using tokenized deposits on Swift's blockchain-enabled platform. The transaction, announced on August 19, 2026, demonstrates interoperability between bank systems for regulated digital money. Swift's ledger matched and netted obligations before final settlement through traditional banking channels. Both banks highlighted benefits for corporate clients, including improved liquidity management and cross-border payments.

HSBC and Standard Chartered completed the first bank-to-bank transaction of tokenized deposits via SWIFT's blockchain-backed ledger. The banks highlight the potential for faster, more efficient liquidity management. SWIFT's platform aims to enable interoperability while maintaining regulatory oversight. Other institutions, including JPMorgan and The Clearing House, are also testing tokenized deposits.

Blackstone, Brookfield Asset Management, and KKR used insurance-backed financing for the debt portion of a $16 billion Kuwait pipeline deal, according to people familiar with the matter. The transaction involves a JV with Kuwait Petroleum Corp. and is set to deliver $7.85 billion in upfront proceeds, boosting capacity to 4 million bpd by 2035.

HSBC Holdings reported pretax profit of $19.5 billion for H1, up 23% from $15.8 billion a year earlier and above analysts’ $18.9 billion forecast. It raised its net interest income guidance to over $46 billion and restarted share buybacks with up to $1 billion, plus a second interim dividend of $0.1 per share.

HSBC said it will close its Australian retail banking business after a review, as part of group simplification. The bank will exit consumer and retail lending, shut branches over 18 months, and phase out accounts and credit cards, with no new retail applications from July 31, 2026. HSBC will sell its $36bn home and personal loan portfolio to Blackstone, and Pepper Money will service mortgages and loans.