Deutsche Bank has teamed up with finaXai, a Singapore-based artificial intelligence ( AI ) company, to explore ways of integrating machine learning and large language models into asset servicing workflows.

The collaboration will assess a significant extension of Project DAMA 2, Deutsche Bank’s multi-chain asset servicing pilot focused on transforming how asset managers can more efficiently manage and service tokenized funds and their investors.

It will leverage AI to help asset managers plan and execute fund lifecycle activities with greater speed, transparency, and precision.

FinaXai was co-founded by researchers from Nanyang Technological University ( NTU ) Singapore and the National University of Singapore. It is part of the “fincubator programme” at the Asian Institute of Digital Finance to support the development of fintech start-ups focused on deep technology and digital finance innovation.

“Through this collaboration, we unify leading research-backed solutions with industry applications to reduce complexity and boost AI’s explainability and integration with DLT ( distributed ledger technology ),” says Anand Rengarajan, Deutsche Bank’s head of securities services in Asia-Pacific and the Middle East and Africa, and global head of sales. “With this work, we seek to better understand and anticipate our asset manager clients’ needs as they explore the future of tokenization.”

Erik Cambria, co-founder of finaXai and professor at the College of Computing and Data Science, NTU, adds: “This collaboration bridges academic research with real-world applications and explores how explainable AI can converge with tokenization to streamline processes and enhance the accessibility, adoption, and management of digital assets.

“Ultimately, this initiative lays the groundwork for synergies between trustworthy AI and asset managers, enabling faster, more precise planning and execution of digital asset and fund lifecycle activities."