London Stock Exchange to work with Payward to bring biggest UK stocks onchain
The London Stock Exchange (LSE) has announced a partnership with Payward, the parent company of crypto exchange Kraken, to tokenize shares of the United Kingdom's largest publicly listed companies and bring them onto a blockchain network. The collaboration marks one of the most significant moves by a major traditional stock exchange to integrate distributed ledger technology into its core equity infrastructure.
The LSE has been exploring blockchain-based solutions for securities trading and settlement for several years, part of a broader industry push to modernize financial market infrastructure. Payward and Kraken have similarly expanded their institutional services in recent years, positioning themselves beyond retail crypto trading and into traditional finance. The partnership reflects growing convergence between legacy financial institutions and established crypto firms.
The tokenization of major UK equities could reduce settlement times, lower transaction costs, and increase accessibility for a broader range of investors, including those operating across borders. It also positions the LSE alongside other global exchanges and financial institutions that have been piloting asset tokenization programs, as regulators in the UK and Europe have developed clearer frameworks for digital securities.
Market participants will be watching for regulatory approval from the Financial Conduct Authority, technical details around the blockchain infrastructure chosen, and a timeline for when tokenized shares might become available to investors. The terms of the partnership and the scope of which specific companies will be included have not yet been fully disclosed.
Source: CoinDesk
