DeFi adoption among corporate finance teams moved into public view this week after reporting showed more firms are experimenting with decentralized finance for working capital and settlement. The reporting, first published by Fortune, described pilot projects that use stablecoins and on-chain transfers to accelerate cash movement and cut intermediary fees. This article examines what that activity means for treasuries, risk functions, and the controls companies must put in place as they test these tools.
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What treasuries are testing
Corporate treasuries are evaluating use cases that include short-term liquidity management, intraday settlement, and faster cross-border payments. Executives told reporters that pilot programs typically start with small, controlled volumes and focused corridors. Companies take a measured approach, keeping most reserves in traditional accounts while shifting select flows into stablecoins and smart-contract-based rails for trial runs.
How the on-chain process works
On-chain settlement moves value using blockchain transactions that record transfers in real time. Treasury systems connect to exchanges or institutional on-ramps to convert fiat into a stablecoin, then send that token through a public ledger to a counterparty or internal account. Recipients can redeem the token for fiat or hold it on-chain until a scheduled conversion. Firms use custodial partners or regulated access points to limit direct exposure to public key management.
Operational gains firms report
Speed and visibility are the most-cited benefits in pilot programs. Firms reported the ability to shorten settlement windows and reconcile records faster because transactions appear immediately on public ledgers. Finance teams also noted fewer manual steps in cross-border operations and a smaller need for pre-funded nostro accounts in some corridors, reducing tied-up cash for brief periods.
Risk and compliance considerations
Counterparty risk and regulatory compliance remain central concerns. Treasury and compliance functions must evaluate the creditworthiness of on-ramps and custodians, the legal status of stablecoins used, and anti-money-laundering controls. Risk teams apply transaction monitoring and audit trails to match internal controls, and they adapt policies to address new failure modes introduced by smart contracts and public networks.
The role of analytics and monitoring
Crypto analytics tools help firms track movement on public ledgers, assess concentration of holdings, and detect anomalous patterns. Risk teams combine blockchain data with internal cash flow reports to generate reconciliations and stress scenarios. Analysts use on-chain indicators to verify settlement completion and to create forward-looking views of liquidity exposure tied to tokenized balances.
Custody and wallet management
Crypto wallets used in corporate pilots range from institutional custodial accounts to segregated custody services with multi-signature controls. Firms prefer custody solutions that offer insurance, compliance reporting, and operational integration with treasury workstations. Security practices focus on private key governance, transaction approval workflows, and contingency procedures for account recovery.
Accounting and audit treatment
Financial reporting teams must classify stablecoin holdings under applicable accounting standards and reconcile them with fiat records. Auditors assess whether controls around issuance, custody, and conversion meet existing frameworks. Firms working with auditors document end-to-end flows, including conversion points and custodial reconciliations, to provide an auditable chain of custody for on-chain funds.
Vendor selection and third-party due diligence
Third-party vendors provide gateways, custody, and settlement infrastructure in most pilots. Treasury and procurement functions conduct diligence on service terms, operational uptime, regulatory licensing, and indemnities. Legal teams evaluate contract language that addresses insolvency, data access, and incident response to align vendor commitments with corporate policy.
Regulatory attention and public reporting
Regulatory scrutiny of tokenized money and settlement services is increasing as firms move from pilots to production. Treasury leaders and compliance officers engage with regulators and banking partners to clarify reporting obligations, tax treatment, and licensing requirements. Firms disclose pilot activity selectively and emphasize governance measures as they brief boards and auditors.
Practical limits and unresolved questions
Liquidity and market depth can constrain the usefulness of on-chain settlement for larger corporations. Market conditions for stablecoin pairs, redemption latency, and platform congestion create variability that treasuries must model. Firms also test operational fallbacks to move funds back into traditional rails if on-chain processes fail or become uneconomical.
What to look for next
Adoption signals to watch include expanded counterparty sets, institutional custody offerings tailored for enterprises, and clearer regulator statements about tokenized cash. Corporate pilot outcomes will depend on measurable improvements in cost, speed, and risk-adjusted returns. Observers expect finance leaders to publish more structured results as pilots mature and internal controls strengthen.
Reporting context and credibility
Fortune reported details of these trials, and their coverage prompted renewed attention from corporate treasuries and risk teams. Reporting from established business outlets has pushed finance professionals to evaluate whether isolated pilots merit broader adoption. Independent verification and measured experimentation remain the most prudent approach for firms considering new settlement rails.
Conclusion for corporate finance is straightforward: firms are testing decentralized finance in controlled settings to see if it reduces friction in cash flows and settlement. Treasury and risk units emphasize that rigorous custody, monitoring, and compliance remain essential. Observers should watch how pilot results translate into policy, and how risk teams refine controls using transaction data and crypto analytics to protect company balance sheets.