Zand Brings XDC Network Into Its Push for Blockchain-Based Payments

The development is part of Zand’s broader effort to modernize payment systems and expand its digital asset capabilities for institutional clients, as banks and fintech firms continue to explore how blockchain technology can be used in practical, regulated settings.

The integration is intended to support blockchain-enabled payment rails and digital asset custody services, which Zand plans to offer to corporate and institutional customers, subject to regulatory approval. By adopting the XDC Network, the bank is aiming to improve how certain transactions are processed, with a focus on efficiency, transparency, and operational reliability.

Zand has positioned blockchain as a practical tool rather than a speculative one. The bank said the technology fits into its wider strategy of combining artificial intelligence with next-generation financial infrastructure to build services that work alongside traditional banking systems. This approach reflects a growing view in the financial sector that blockchain can enhance existing processes, rather than replace them entirely.

As part of the rollout, Zand will rely on the XDC Network’s enterprise-focused blockchain architecture, which is designed to support real-world financial use cases. The bank pointed to the network’s compatibility with established financial messaging standards as an important factor, particularly as financial institutions look for technologies that can integrate with existing systems rather than operate in isolation.

Digital asset custody is expected to play a central role in the initiative. Zand said its institutional custody offering will support blockchain-based assets and tokenized instruments, allowing clients to securely hold and manage digital assets within a regulated environment. This capability is becoming increasingly relevant as tokenization continues to attract interest from institutions exploring new ways to structure and settle financial products.

Among the use cases referenced by the bank are tokenized commodities, including gold-backed digital products. Zand noted that blockchain infrastructure can help simplify settlement and record-keeping for such assets, potentially making transactions more transparent and reducing operational complexity compared with traditional processes.

Zand’s leadership described the integration as part of a longer-term shift toward applying blockchain in areas where it can deliver clear, real-world value. Rather than focusing on market speculation, the bank emphasized functional use cases such as payments, custody, and settlement that align with regulatory expectations and institutional requirements.

More broadly, financial institutions around the world are continuing to assess whether blockchain-based systems can complement traditional payment infrastructure. While established rails remain dominant, interest in alternative technologies has grown as firms look for ways to improve speed, transparency, and efficiency in cross-border transactions and back-office operations.

From a regional perspective, the move aligns with the UAE’s wider push to support financial innovation within a regulated framework. Zand said its blockchain initiatives are designed to operate in line with local regulatory expectations, a factor that is often seen as critical for building trust among institutional participants considering new technologies.

The integration with Zand represents another example of enterprise blockchain adoption within a regulated financial institution. Partnerships of this kind highlight how blockchain platforms are increasingly being evaluated not just by technology startups, but by banks seeking infrastructure capable of supporting real-world financial services at scale.

The integration forms part of Zand’s broader roadmap to expand digital offerings for institutional clients, as interest in blockchain-enabled finance continues to develop.