Seven UK Banks Complete First Interbank Transactions Using Tokenized

Seven major UK banks, including Barclays, NatWest and HSBC, conduct interbank

Seven of the United Kingdom’s largest banks, including Barclays, NatWest and HSBC, have completed what is described as the world’s first interbank transactions using tokenized pound deposits on a shared platform built by Quant, according to information shared by CoinMarketCap.

The transactions represent an institutional test of tokenized bank deposits in interbank payments, using a common platform developed by Quant. The initiative brings multiple major UK banks onto the same infrastructure for transactions denominated in tokenized pounds.

Major UK Banks Participate in Tokenized Deposit Transactions

The seven participating banks include Barclays, NatWest and HSBC, although the CoinMarketCap post does not identify the other four institutions.

The transactions involved tokenized pound deposits, a digital representation of bank deposits that can be transferred using blockchain or distributed-ledger infrastructure. In this case, the transactions were conducted through a shared platform built by Quant.

The use of a common platform is central to the development because the participating institutions conducted the transactions within the same infrastructure rather than through separate systems.

CoinMarketCap reported the development in a post on X, describing the transactions as the world’s first interbank transactions using tokenized pound deposits.

Quant Platform Provides Shared Infrastructure

Quant built the shared platform used for the transactions, providing the technology through which the participating banks conducted the interbank transfers.

The development demonstrates a practical use of tokenized deposits within a banking environment, although the source does not provide details on the transaction values, number of transfers or specific payment scenarios tested.

It also does not state whether the platform is currently being used for commercial financial payments or whether the transactions were conducted as part of a trial or other controlled initiative.

Tokenized Pounds Bring Deposits Into Digital Infrastructure

Tokenized deposits differ from cryptocurrencies in that they represent deposits held within the banking system. The transactions described by CoinMarketCap therefore involve existing bank-based monetary claims being represented in a tokenized form.

For the participating banks, the shared platform provides an environment to test how such deposits can be transferred between institutions using digital infrastructure. The source, however, does not provide further details on settlement arrangements, technical standards or the regulatory framework surrounding the transactions.

The development also does not establish that tokenized pound deposits are ready for broad commercial deployment. Details on future expansion, additional participating banks or wider availability were not provided.

Next Steps for the Shared Platform

The completion of the transactions markets a specific milestone for the seven participating banks and Quant, but the available information leaves the next stage open.

Further details would be needed to determine whether the platform will move beyond the reported transactions, how the participating banks intend to use the infrastructure and whether additional institutions will eventually join the network.

Writer: Victoria Hale
Technology & Blockchain Writer

Victoria Hale writes about blockchain technology, digital infrastructure, and the intersection of emerging technologies with finance. Her articles explore how new protocols and systems are shaping the evolving digital economy.

She prioritises clarity and accuracy when explaining technical developments to a general audience.