UK Banks pressed with Tokenis deposits after the Boe Stablecoin commemoration
The largest lender in the UK encourages the future with plans to launch a Tokenis version of the customer deposit next year, a step that follows the request of Bank of England Governor Andrew Bailey to prioritize technology rather than stablecoin.
Tokenisasi usually refers to creating digital representations of assets such as deposits, stocks and bonds stored in the blockchain. Supporters say they can make transactions faster, cheaper and safer.
Bank -bank including HSBC HSBA, Natwest NWG and Lloyds Lloy have launched pilots using Tokenisization deposits for payments through online markets, UK Finance Industry Group said on Friday.
Bailey skeptical about stablecoin
The pilot came after Bailey said in July that when he “did not oppose stablecoin”, he could not understand their needs and believe Tokenisasi offers more value.
Stablecoin, a type of cryptocurrency, which is pegged into Fiat’s currency, has exploded in popularity. The genius law of US President Donald Trump has brought more clarity and encourages several US banks to say that they can enter a market that is dominated by non-bank players.
On Thursday, a group of European lenders also announced plans to launch stablecoin with euro -based.
Bailey has warned that Stablecoin took money from the banking system and could threaten financial stability. In an interview with the Times newspaper in July, he warned the Bank -Bank not to issue their own stablecoin.
While the British financial behavior authority is not expected to complete stablecoin regulations until the end of 2026, Boe said the bank can experiment with token deposits in existing regulations
A senior British banking official said Tokenisasi deposits do not have a “Stablecoin brand image” but are an important technological improvement.
Many large lenders are checking both. CEO Citi said in July that Tokenis deposit may be more important than stablecoin.
The British Tokenisasi deposit pilot also involves Barclays (Barc.N), Nationwide and Santander, will run up to mid 2026. Pilots will also test applications in the remortgaging process and completion of digital assets.
Jana Mackintosh, Director of Implementing Payment and Innovation at UK Finance, told Reuters that Tokenisasi made it possible for technological changes while storing payments in the regulated banking system.
Source: Reuters
