🏦 Tokenized Deposit News from BNY, Lloyds, JPM, and Barclays; BlackOpal's $200M Credit Card Receivables Facility and More

Summary and Key Takeaways

1. BNY Enables Tokenized Deposits for Institutional Clients, Lloyds and Archax Uses Them for Gilt Transaction in UK

Kicking off the year strong, BNY is enabling tokenized deposits for their institutional clients, starting with Anchorage Digital, Citadel Securities, Digital Asset, WisdomTree, Securitize, and zerohash to name some. This blend also reflects their workflows focused on collateral and margin liquidity efficiency and programmable payments. As covered last week, tokenized deposits are the cash leg of transactions which at institutional scale can help streamline money movement in a meaningful way, from B2B payments to asset management use cases. Meanwhile in the UK, Lloyds issued theirs on Canton Network as well to purchase tokenized Gilts issued on Archax. Although this isn’t launched to their clients yet like BNY’s, it’s another strong movement forward for the region and those involved. This builds on previous work together around tokenized collateral so naturally we expect this partnership to continue growing and will keep an eye on future rollouts and  applications.

2. Kinexys Expands JPMD to Canton Network, Adding to Base

This news was accompanied last week by JPMorgan’s expansion of their deposit token, JPMD, to Canton Network. The Kinexys team at JPM is covering multiple bases by first issuing it on a public blockchain (Base) but also having a more privacy-configurable option through Canton. The goal is to have optionality and interoperability between those options for various institutional use cases (think hedge funds not looking to expose positions/strategies, corporate treasury balances, etc). Canton Network is a common denominator in all 3 of these announcements, making direct transactions easier and just a matter of each bank accepting the other’s deposit token. As covered last week, for those on other blockchains JPM has already done it with Deutsche Borse using SWIFT and is working with Singapore’s DBS on an interoperability option.

3. BlackOpal Announces GemStone with $200M Anchor LP Mars Capital Advisors for Credit Card Receivablesf

Credit continues to be a big application for tokenization and vaults which is why we’re now seeing a $200M anchor for BlackOpal’s GemStone which invests in credit card receivables. Citing Brazil having a $100B market, BlackOpal shares the anecdote of many transactions being paid for in installments. This need for working capital creates an opportunity for BlackOpal to buy the receivables as True Sale with automatic collections from Visa and Mastercard, rather than waiting on merchant payments. Blockchain rails help streamline operations and mitigate credit risk which is why it’s so attractive for credit markets and this collaboration with Plume is a strong move forward for exposure to emerging markets. A shout out to Boris Redfern (a friend of STM’s and the RWA Foundation), head of capital markets at Draupnir Capital which acted as Sole Lead Advisor and Capital Introduction Partner.

4. Barclays Invests in Ubyx for Stablecoin Settlement

Going back to the UK, Barclays is investing in Ubyx for stablecoin settlement which adds to the momentum in investment and M&A activity from 2025. This is especially exciting for Ubyx, being a company reportedly launched just last year and already adding a bank like Barclays to their cap table alongside other big names like Coinbase and Galaxy Digital. Payments and money movement are a big focus for many banks and this further exemplifies their conviction in the space. What’s interesting in this one is that it’s essentially rails to offramp stablecoins from multiple issuers (supporting multiple currencies) back to partner bank and custodian accounts. Barclays will surely be a partner integrating but it’ll be great to see how this investment evolves into new initiatives as well with the clearing system. 

5. Apex Group to Serve as Attestation Provider for OnRe’s ONyc Tokenized Reinsurance Vehicle

Compliance and trust are vital for successful digital assets and OnRe’s setting up their ONyc reinsurance product to be held to the same standards as traditional ones with independent attestations. They’ve selected Apex Group to verify the vehicle’s reinsurance positions, holdings, and treasury balances, both onchain and offchain, on a recurring basis. Of course these reports will be traditionally accessible but imagine when they start uploading attestations to the blockchain. The programmability and collateral movement enabled with verified data onchain will only enhance the asset further. Proof of Reserves, verifications from trusted third parties, risk ratings & assessments, and other reporting are all essential to tokenization’s success in onboarding asset classes while giving investors and other stakeholders the confidence they need to adopt further.

This is not financial advice.

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Think Like Herwig

Hello readers,

We’re kicking off the year strong with BNY getting ahead on tokenized deposits to evolve the stablecoin landscape further. Coinbase has now made it abundantly clear it plans to compete with Robinhood and other tokenization providers. It’s truly the year of tokenization.

This makes TokenizeThis on June 23-25 THE event of the year for all things RWA and is expected to be the most high profile intimate gathering of finance professionals and institutions in the world. I’ve been teasing some major news around all this and I’m excited to finally tell you… I’m going to tease you some more! Stay tuned, we’re just about there now.

Happy tokenizing, 
Herwig “Happy” Konings
CEO, Security Token Group 

Follow me on X / LinkedIn

Security Token Show Ends with 300 Episodes!

Check out the latest and final episode of the Security Token Show as well as the full catalog on Youtube, Spotify, Apple Podcasts & Google Podcasts.

Reports

RWA Tokenization: Key Trends and 2025 Market Outlook

Check out a report we contributed to: RWA Tokenization: Key Trends and 2025 Market Outlook. Led by Brickken, this report brings multiple parties together in diving into tokenization, with STM.co supporting with both data and some of the written sections.

What’s Inside?

✅ A Breakdown of Tokenization and Related Benefits
✅ Key advantages for issuers, investors, and institutions
✅ How the market is evolving and trends shaping adoption in 2025
✅ What’s next? Expert insights on regulation, DeFi integration, institutional involvement, and market growth

STM’s RWA Market Prediction for 2030

STM.co is proud to release a thorough report on our prediction on the tokenized real world asset market growth. This report explores the variety of opportunities within each asset class to capture value on-chain.

Tokenization can be applied to just about any object and asset type. Art, carbon credits, life insurance, and other sub $5 trillion asset classes weren’t even considered in estimates.

In order for STM to derive its 2030 market predictions, the following asset classes were evaluated: currency, M2/M3, real estate, commodities, public equities, private companies and funds, bonds, credit and lending markets.

This is not financial or investment advice.

Helpful Resources

• $30 Trillion by 2030 - STM

• Global Tokenized Real Estate Market Guide 2024 - STM

• TokenizeThis 2024: Highlights and Key Takeaways - STM

• TokenizeThis 2023: Highlights and Key Takeaways - STM

• State of Security Tokens 2023 - Q4 - STA

• State of Security Tokens 2023 - Q3 - STA

• State of Security Tokens 2023 - Q2 - STA

• State of Security Tokens 2023 - Q1 Extended - STA

• Real-World Asset Tokenization 2023 According to STM - STM

• Tokenizing an Asset in 3 Easy Steps - Security Token Show

• Rich Data in Private Assets - STM

• State of Security Tokens 2022 - STA

• State of Security Tokens 2023 - Institutional Edition - STA

• Tokenization for Institutions - What You Need to Know - STM, Arca (YouTube)