According to crypto.news, Lloyd's Banking Group and Aberdeen Investment Company recently completed the UK's first foreign exchange transaction using tokenized real-world assets (RWA) as collateral.
The pilot transaction was technically supported by the UK-regulated crypto exchange Archax, using the Hedera blockchain to issue and manage digital tokens representing Aberdeen's money market fund and UK gilts.
Lloyd's Bank stated that the transaction verified the feasibility of tokenized assets as collateral in regulated financial markets without requiring new legislation, aiming to improve collateral efficiency and reduce operational friction. This move is seen as a key step in modernizing the collateral system.
