UK pilots tokenized sterling deposits on RLN through mid-2026
đ The programme began on 26 Sep 2025 to bring commercial bank sterling deposits onto digital rails while preserving existing protections, coordinated by UK Finance with six major banksâBarclays, HSBC, Lloyds, NatWest, Nationwide and Santanderâto modernise payments.
đĄ Tokenized deposits enable âprogrammable moneyâ with conditional execution that reduces errors and fraud without breaking compatibility with incumbent systems; an interoperability layer from a blockchain connectivity provider such as Quant links payment networks and emerging forms of digital money.
đ The pilot targets three practical scenariosâP2P transactions on online marketplaces, remortgaging workflows and settlement for tokenized assetsâaiming to shorten processing times, increase transparency at risk-prone steps and smooth matching and finality.
âïž The Bank of Englandâs policy stance favours tokenized deposits over stablecoins to preserve the singleness of money, laying groundwork for safer digital payments and paving the way for wholesale CBDC and private-sector RWA infrastructure.
â±ïž The pilot runs through mid-2026 with an early-October update; if execution is smooth, the model could become a UK reference for reducing payment frictions and standardising anti-fraud processes, with positive spillovers to broader digital-asset activity.