Britain’s FCA and Bank of England aim to modernize capital markets using blockchain-based tokenization to cut costs and boost resilience.
UK financial regulators unveiled a joint strategy to advance tokenized wholesale markets, targeting lower costs and improved infrastructure resilience. The initiative seeks to digitize asset issuance, trading, and settlement using blockchain technology, reinforcing London’s global financial position.
The Financial Conduct Authority and Bank of England stated tokenization could reshape wholesale markets by streamlining processes. Industry discussions are underway to assess how existing regulations may support or hinder adoption, with a focus on expanding participation and reducing operational risks.
Coinbase suggested the push could create wealth for citizens but emphasized the need for broader policy reforms beyond digitization. The effort reflects growing competition among financial hubs to lead in blockchain innovation.