Lloyds Bank and Partners Complete First Gilt Purchase Using Tokenized Deposits

Lloyds Bank has completed the first-ever Gilt purchase using tokenized deposits in the UK, in partnership with Archax and Canton Network. The transaction involved issuing tokenized deposits directly on the Canton Network, a privacy-enabled public blockchain, and using those deposits to purchase a tokenized UK Gilt issued by Archax. This marks the first time tokenized sterling deposits have been issued on a public blockchain globally and demonstrates the potential of digital assets to improve liquidity and reduce counterparty risk. Tokenized deposits allow businesses to access a wider range of assets across traditional and on-chain markets, with benefits including real-time settlement, smart contract automation, and enhanced transparency.