Headline: BitGo and ZKsync partner to give banks a turnkey route for tokenized deposits
BitGo and ZKsync (built by Matter Labs) have announced a joint effort to deliver a full-stack, compliance-focused infrastructure that helps banks issue, move and settle tokenized deposits on-chain without leaving the regulatory system.
The offering pairs BitGo’s institutional custody and wallet services with ZKsync’s Prividium — a permissioned, privacy-preserving blockchain designed for regulated entities. Together they aim to give financial institutions the tools to mint and manage tokenized bank deposits while preserving the controls and oversight required by regulators.
Tokenized deposits differ from stablecoins in a key way: they keep funds anchored inside the traditional banking system while adding on-chain programmability and faster settlement, rather than existing outside bank rails. That makes them an attractive option for banks that want blockchain efficiency without having to upend existing regulatory or operational models.
Matter Labs CEO Alex Gluchowski framed the work as “how banks bring money onchain without leaving the regulatory system.” The partners say the combined stack is already being tested with regulated financial institutions, with a broader production rollout planned for later this year.
The collaboration is part of a broader industry push: crypto infrastructure providers are packaging privacy, permissioning and compliance features into ready-made systems to court banks that prefer not to build and manage complex on-chain architecture themselves.
Related note: BitGo has also been active in other institutional offerings recently, including initiatives with Susquehanna Crypto around OTC access to prediction markets.
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