Lloyds Bank completes the UK's first transaction using tokenized deposits to purchase government bonds

PANews January 7 News, according to CoinDesk, the UK lending institution Lloyds Banking Group announced that it has completed the UK’s first transaction using tokenized deposits to purchase UK government bonds. Lloyds Banking Group is the third-largest bank in the UK by market value. The bank stated that it used the crypto trading platform Archax and the privacy-focused Canton network to complete this UK government bond purchase. This transaction demonstrates that tokenization technology can revolutionize traditional banking by converting real-world assets into digital form, enabling instant buying, selling, or transferring. In this transaction, Lloyds Bank plc, a subsidiary of Lloyds Banking Group, issued tokenized deposits on the Canton network. Subsequently, Lloyds Bank Corporate Markets used these deposits to pay for tokenized government bonds purchased from Archax. Finally, Archax transferred the underlying funds back to Lloyds Bank’s regular account.