Bank of England Proposes Near-24/7 Settlement Hours for Tokenized Finance
- The Bank of England proposed extending operating hours for its Real-Time Gross Settlement (RTGS) and CHAPS systems to nearly 24/7.
- Public feedback on the consultation paper is open until July 3, with a feedback statement expected in summer.
- The initiative aims to enhance cross-border payments and support new payment models as tokenization evolves.
- The Prudential Regulation Authority plans to consult on a long-term tokenization framework by at least 2028.
- The Financial Conduct Authority is also reviewing its crypto regulatory regime, focusing on stablecoin practices, with full implementation expected by October 2027.
This proposal reflects the UK’s commitment to adapting its financial infrastructure for tokenized finance, aiming to improve market efficiency and accessibility. The collaboration between the Bank of England and the FCA highlights a strategic shift towards modernizing financial operations in response to evolving technologies.
With extended settlement hours planned, this move could significantly enhance cross-border transactions as part of the UK’s broader vision for tokenization. (Source)
