Commercial Bank of Dubai becomes first bank outside Europe to join CBMT network

Commercial Bank of Dubai (CBD) has joined the Commercial Bank Money Token (CBMT) initiative, becoming the first bank from outside Europe to participate in the network.

CBD will initially join the CBMT Sandbox to explore potential applications for tokenised commercial bank money, including cross-border corporate payments, trade settlement, treasury operations and working capital management along the Europe-Gulf corridor.

The CBMT initiative, spearheaded by Die Deutsche Kreditwirtschaft (DK), brings together European banks including Commerzbank, DZ Bank, Helaba, UniCredit, ABN AMRO, BNP Paribas and DNB. The initiative aims to enable commercial bank money to be used on distributed ledger technology (DLT), allowing banks to settle corporate payments in tokenised form.

Exploring tokenised commercial bank money

Unlike stablecoins issued outside the banking system, tokenised commercial bank money remains on the issuing bank's balance sheet as a regulated bank deposit. It therefore remains subject to the prudential requirements that apply to traditional bank deposits.

For CBD, participation in the initiative will allow the bank to examine DLT-based settlement while maintaining the existing banking framework around commercial bank deposits.

The CBMT Sandbox was launched in Frankfurt in November 2025, following a 2024 proof of concept focused on the use of tokenised commercial bank money for on-chain payments.

In 2026, participating institutions completed initial live, multi-bank deposit-token transfers involving industrial corporates. BNP Paribas, ABN AMRO and DNB subsequently joined the initiative, while DNB also added the Norwegian krone to the network alongside the euro, US dollar and Japanese yen.

The Sandbox provides a testing environment for institutional and corporate use cases covering the lifecycle of tokenised money flows, from issuance and enterprise payments to interbank settlement.

Focus on Europe-Gulf trade corridor

As its first step, CBD will onboard to the CBMT Sandbox and work with participating banks and technical service providers UDPN and GFT.

The bank will explore applications involving cross-border corporate payments, trade settlement, cross-jurisdictional treasury operations and working capital optimisation between Europe and the Gulf.

CBD said all Sandbox activities will be conducted in accordance with applicable regulatory requirements in the participating jurisdictions. Participation does not represent a commitment to a commercial launch.

“Joining CBMT is a natural next step in CBD's digital transformation strategy and our long-standing role in connecting UAE businesses with international markets,” said Dr Bernd van Linder, Chief Executive Officer of CBD.

“As the first bank from outside Europe to participate, we bring the perspective of the Gulf's banking and trade sector to a broader effort to modernise commercial bank money on a secure, regulated basis,” he added.

Barbara Riccardi, Co-Head of Wholesale Banking at CBD, said the initiative could help address demand among corporate and institutional clients for faster and more transparent cross-border payments while retaining the security of commercial bank money.

CBMT expands beyond Europe

Claus George, Head of Digitalisation and Innovation TxB at DZ BANK AG, said CBD's experience in Europe-Gulf trade and digital banking made it a suitable participant as CBMT expands its reach.

He said CBD's participation marked a step towards the initiative's goal of developing a multi-issuer, multi-currency and multi-chain ecosystem.

Florian Becker, Managing Director APAC & GCC at GFT, said CBD's participation demonstrates the potential for the CBMT model to extend beyond Europe.

GFT and UDPN are technical service providers to the CBMT Sandbox and will support participating banks as they examine potential applications for tokenised commercial bank money in cross-border corporate settlement.

CBD's participation gives the CBMT initiative a banking presence in the Gulf as participants continue to test how tokenised commercial bank money could be used for corporate and institutional payments across jurisdictions.