UK Finance Leaders Back Tokenization Shift

Nearly three-quarters of UK finance leaders believe that tokenization will reshape financial services, according to a survey by Lloyds Banking Group.

The poll of 100 executives across banks, insurers, asset managers and financial sponsors found that 71% expect blockchain-based representation of assets such as cash, bonds and funds to alter how the sector operates.

The top perceived benefit of tokenization was faster payments and settlement, cited by 60% of respondents, followed by improved collateral and liquidity management at 41%.

Lloyds has already settled $750,000 in live payment obligations using USDC in a seven-day pilot with Visa, with funds reaching the card network in under an hour, including outside banking hours and over a weekend.

The survey's findings come as the UK government and regulatory push toward tokenization continues, with the Bank of England proposing extending its core settlement infrastructure toward near-24/7 availability in May.