ZK Staking Pilot Reaches 305M Tokens with 10% APR Target Rate

**Five US regional banks** representing over $600 billion in deposits have joined the [Cari Network](https://www.zksync.io/blog/five-us-banks-are-moving-to-zksync), launching the first tokenized deposits network powered by ZKsync's Prividium technology. **Key developments:** - Partnership with **BitGo** provides banks a turnkey solution for issuing, transferring, and settling tokenized deposits onchain - **ZKsync Connect** introduced as the first interoperability protocol built specifically for institutions - Banks can integrate without building complex internal systems **Why it matters:** Small and mid-sized banks are transforming to compete in the digital assets economy. Tokenized deposits enable efficiency gains in intrabank and interbank settlement, creating a new money layer. The solution runs on **Prividiums** - private, enterprise-controlled chains that allow regulated institutions to maintain compliance while accessing blockchain benefits. This represents a shift from 2025's foundation-building to 2026's focus on real-world use cases.

**Cari Network is building the first tokenized deposits network in the United States**, developed alongside five regional banks: Huntington Bank, First Horizon, M&T Bank, KeyBank, and Old National. Together representing $600B in deposits, these institutions are leveraging ZKsync's Prividium technology to bring bank-issued digital deposits onchain. **Key differences from stablecoins:** - Tokenized deposits are direct bank liabilities, not synthetic assets - Integrated with core banking systems - Eligible for FDIC insurance - Operate within existing regulatory frameworks **What Prividium enables:** - Private, enterprise-controlled blockchain infrastructure - Real-time settlement while maintaining compliance - Security anchored to Ethereum - 24/7 programmable money within banking regulations The network aims to modernize deposit infrastructure for the $8.3T held by regional banks, allowing them to compete in the digital assets economy while preserving privacy and regulatory safeguards. [Read the full case study](https://www.zksync.io/case-studies/cari-network)

**ZKsync representative @gluk64 will speak at the Digital Chamber's DC Blockchain Summit on March 18.** - **Topic**: The role of tokenized deposits in next-generation financial markets - **Focus**: Bridging policy and banking infrastructure - **Time**: 1:35 PM - **Location**: Washington, D.C. The presentation addresses privacy, compliance, and institutional adoption in the evolving landscape of digital finance.

**The shift to instant settlement is reshaping finance.** Stablecoins have already begun transforming payment systems, and tokenized deposits are positioned to be the next major development. **Key developments:** - Tokenized deposits will allow institutions to issue regulated digital money - These digital assets can move in real time across markets and international borders - Industry experts predict tokenized deposits could become the fastest growing onchain asset class **Why this matters for banks:** Tokenized deposits offer financial institutions a way to remain competitive in the evolving digital assets economy. Unlike stablecoins, which operate outside traditional banking systems, tokenized deposits enable banks to issue their own regulated digital currency while maintaining compliance frameworks. **The broader context:** This development follows the success of stablecoins as onchain settlement tokens. The technology represents a move toward more efficient, integrated financial infrastructure that can operate 24/7 without the delays of traditional settlement systems. Institutions are beginning to recognize that real-time settlement capabilities will be essential for competing in digital finance.