MAS Launches BLOOM: Expanding the Boundaries of Digital Settlement
Singapore has taken a defining step toward the future of finance. The Monetary Authority of Singapore (MAS) has launched BLOOM, which stands for Borderless, Liquid, Open, Online, Multi-currency, a landmark initiative that reimagines how settlements can occur in a digital, tokenised economy.
BLOOM is designed to allow financial institutions to conduct tokenised settlements using bank-issued digital liabilities and well-regulated stablecoins, under a clearly defined, compliance-oriented framework. In doing so, MAS is laying the groundwork for an interoperable, trusted, and technology-driven settlement ecosystem that could redefine the future of cross-border payments.
Building on Project Orchid’s Foundation
The launch of BLOOM represents a natural evolution in Singapore’s broader digital finance roadmap. It builds on pioneering efforts like Project Orchid, which explored programmable digital money, and Project Guardian, which examined the tokenisation of financial assets and market operations.
BLOOM takes those lessons further, envisioning a world where payments and settlements are executed seamlessly across borders and currencies, with strong regulatory oversight built in from the start.
Under BLOOM, financial institutions can explore settlement in tokenised bank liabilities, digital forms of traditional banking obligations, and well-regulated stablecoins, with clear oversight and defined operational standards.
BLOOM is designed to allow financial institutions to conduct tokenised settlements using bank-issued digital liabilities and well-regulated stablecoins, under a clearly defined, compliance-oriented framework. In doing so, MAS is laying the groundwork for an interoperable, trusted, and technology-driven settlement ecosystem that could redefine the future of cross-border payments.
Why BLOOM Matters
BLOOM will collaborate with the financial sector to enable settlements using tokenised bank deposits and regulated stablecoins, while also encouraging consistent risk management standards within the digital asset settlement space.
Key drivers behind its launch include:
- Interoperability Across Systems and Currencies: The initiative enables smooth cross-currency settlements by supporting tokenised bank assets and regulated stablecoins across multiple currencies, including G10 and Asian currencies.
- Cross-Border Efficiency and Speed: Designed for wholesale use, the initiative streamlines both domestic and cross-border payments, with applications in corporate treasury, trade finance, and agent-based transactions.
What BLOOM Enables
Under BLOOM, participants, including banks, financial institutions, payment networks, and infrastructure operators, can experiment with real-world settlement trials. These trials will cover:
Settlement in Tokenised Bank Liabilities: Allowing institutions to use digital forms of traditional banking obligations as secure, traceable settlement instruments.
Settlement in Regulated Stablecoins: Testing stablecoins that meet MAS’s upcoming regulatory standards as trusted settlement assets in institutional transactions.
Programmable Compliance Mechanisms: Embedding AML/CFT checks, transaction screening, and audit logic directly into settlement workflows for real-time regulatory assurance.
Cross-Network Coordination: Encouraging interoperability between digital ledgers, payment systems, and existing banking infrastructure to ensure smooth multi-rail operations.
Industry Collaboration and Participation
MAS emphasises that BLOOM is a collective initiative that thrives on partnership between banks, financial institutions, payment network operators, and regulators.
By bringing both domestic and international participants, the initiative positions Singapore as a global testbed for compliant digital settlement systems.
Participants can contribute to shaping safe, efficient, and interoperable systems that support real-world use cases.
BLOOM Registration Criteria
MAS welcomes interest from organisations that are actively exploring use cases or developing solutions involving different forms of settlement assets.
Eligible applicants include:
- Financial institutions regulated in Singapore or other recognised jurisdictions
- Clearing, distribution, and settlement network operators
To foster transparency and participation, MAS has opened a formal expression of interest channel for entities keen to join upcoming BLOOM trials.
Interested organisations can register through the official MAS form here: Register Link
How Pecuniya Helps Institutions Navigate This Transition
At Pecuniya, progress and prudence go hand in hand. As MAS and the financial industry move toward tokenised settlement models, firms will need to strengthen their regulatory governance, AML/CFT controls, and risk frameworks to align with these evolving infrastructures.
Our team helps financial institutions build audit-ready, technology-aligned compliance systems, ensuring that innovation remains responsible and regulatory expectations are met with confidence. From designing embedded compliance frameworks to advisory on risk control for digital transactions, Pecuniya partners with institutions to navigate this next phase of digital transformation.
Learn more about how we help institutions build stronger compliance foundations: Compliance@Pecuniya.com
Official Source: Monetary Authority of Singapore (MAS) – BLOOM Initiative Announcement
Leave a Reply