From Pilot to Payment: Blockchain-Based Trade Finance Goes Live with Major Banks and Fintechs Adopting Tokenized Settlements

Global trade finance is undergoing a seismic shift from theoretical exploration to real-world application, as major financial institutions and fintech firms are now executing live transactions using blockchain technology, smart contracts, and stablecoins. This move promises to replace centuries-old, paper-based processes with automated, near-instant settlement, addressing long-standing industry bottlenecks. The adoption surge is underscored by a 2026 Thomson Reuters Global Trade Report, which found 40% of trade professionals are now exploring technologies like blockchain, a nearly sevenfold increase from just 6% in 2024.

In a landmark transaction, fintech company Unloq has completed its first live trade financing deal for Singaporean supplier Chemtank using a U.S. dollar stablecoin (XUSD), Taiwan News reported on February 13, 2026. The deal, executed on Unloq’s SC+ platform, unified trade documentation and payment into a single blockchain workflow, delivering instant settlement to the supplier while preserving the buyer’s normal payment terms. “This transaction shows that Unloq is able to bring innovative smart-contract-based solutions to supply chain finance,” said Charles Song, Chairman of Unloq.

Banking giant Citi is also moving aggressively in this space, piloting its ‘Citi Token Services for Trade’ to replace traditional instruments like bank guarantees and letters of credit, according to Global Finance Magazine. The system uses a smart contract to hold a tokenized deposit, which is automatically released once verified trade data, such as a shipping confirmation, is received. This programmability eliminates manual verification delays and provides near-instant liquidity.

The innovation extends to different currencies and asset classes. A new strategic collaboration between AllUnity, Tradeflow, and Obligate will integrate a regulated Euro-denominated stablecoin, EURAU, for settling tokenized securities, AllUnity announced on February 12, 2026. This partnership allows for the issuance of Euro-based investment products on Obligate’s marketplace. Tom James, CEO of TradeFlow Capital Management, stated the collaboration provides “institutional investors a more efficient way to access predictable yield while operating within a regulated and compliant framework.”