Global Settlement Network (GSN) has outlined a strategy to tokenize up to $200 million of water infrastructure across Southeast Asia to broaden access to capital for treatment plants and distribution networks. The concept is to turn traditionally illiquid public-utility assets into blockchain-based tokens and pair that structure with local-currency settlement rails.
The first execution step is a Jakarta pilot that targets a $35 million raise for eight government-contracted water treatment sites, with the pilot designed to validate how tokenized ownership stakes can map to real-world infrastructure operations. The model also positions a rupiah-denominated stablecoin pilot as a core settlement component to reduce friction for local participants.
Jakarta pilot and the scale-up roadmap
GSN describes the rollout as phased, starting with Indonesia and expanding outward. The initial phase focuses on upgrades and network expansion for eight purification plants contracted by local authorities, while also testing the legal and operational linkages that connect token instruments to physical assets. GSN’s stated ambition is to scale from the $35 million pilot toward the full $200 million over the following twelve months across multiple Southeast Asian markets.
Local execution in Indonesia is anchored by a named partner. Globalasia Infrastructure Fund is presented as the strategic local partner, led by chairman Mas Witjaksono, and his public remarks frame the opportunity set as broader than water alone. “The project offers significant opportunities for growth,” Mas Witjaksono said, pointing to a wider pipeline of infrastructure and natural-asset candidates for tokenization.
The ecosystem list also includes additional entities, but with limited specificity on responsibilities. FortuneJack, KingBilly, and BongoBet are cited in public notices as collaborators, and their involvement is described at a high level as supporting capital provision, technology integration, and market access rather than clearly defined contractual mandates.
A key operational feature is the settlement layer. GSN plans to pilot a rupiah-pegged stablecoin to reduce FX friction for local investors and operators, using it as a payment and settlement medium that can connect on-chain token flows with traditional banking systems via regulated gateways. The roadmap emphasizes a controlled pilot approach for rupiah-denominated settlement rails rather than an immediate full-scale deployment.
On the asset side, the token design is positioned as flexible, with some open questions. The tokens are described as representing fractional ownership or revenue rights linked to the physical facilities, but the precise legal wrapper—equity, debt, or revenue-sharing—has not been specified. The intended end state is secondary-market tradability, faster settlement, and automated return distribution once legal frameworks and custody links are fully established.
Risk posture and control expectations
Tokenizing water infrastructure combines standard RWA issues with utility-specific constraints, and GSN’s own framing highlights several control domains. Regulatory approvals are positioned as a gating dependency, requiring coordination with ministries, local water authorities, and financial regulators to fit state-linked utilities into a compliant ownership and financing model. Environmental compliance is treated as a hard requirement through EIAs, adherence to local laws, and transparent on-chain ESG reporting.
On the technology and custody side, the plan leans on conventional assurance mechanisms. OT cybersecurity is addressed through network segregation, secured oracles, and independent audits of smart contracts and operational-technology interfaces, while valuation and custody controls rely on third-party appraisers and legal frameworks that clearly link tokens to underlying assets, with IoT verification mentioned as a supporting tool where feasible. Geopolitical variability is managed through a phased country-by-country approach and explicit risk assessments before expanding beyond Indonesia.
From a go-to-market standpoint, the pilot will be judged on execution evidence, not narrative. Market participants are likely to focus on external audits, clear legal title for tokenized interests, and demonstrable security of the settlement rails before assigning credibility to the targeted $200 million scale. The rupiah-stablecoin rollout and the Jakarta pilot outcomes will be the immediate proof points for whether this structure can improve liquidity, compliance, and capital formation for essential utilities.
