UK banks have completed live customer transactions using tokenised sterling deposits through the Great British Tokenised Deposit initiative. Lloyds, NatWest and Barclays completed two remortgage transactions, while HSBC and other participating banks tested a programmable marketplace payment.

The transactions show how commercial bank money can be programmed to move when certain conditions are met by connecting banks using Quant's shared infrastructure. Tokenised debt instruments and digital asset settlement are the next steps in the project's expansion into widespread production.

Banks Test Real Payment Use Cases

Remortgages and an online marketplace purchase were the main emphasis of the initial live use cases. Deposit funds were locked before the completion of the two remortgage transactions and automatically released upon fulfilment of the necessary conditions. This could cut settlement delays and lessen the need for manual checks. Customers can also continue to earn interest on their money while it is still in their account before completion due to this agreement.

Additionally, the pilots looked at how virtual communication with HM Land Registry could eventually enhance the entire remortgage process.

The marketplace test focused on an alternative payment issue. When a customer purchases a product from a private seller, the payment may be locked in their account, and the tokenised deposit will be released only following the completion of the arranged transaction. Although the test was simulated and no physical products were exchanged, it showed how payment might be directly linked to fulfilment requirements.

Quant Provides Shared Banking Infrastructure

The Great British Tokenised Deposit platform, which Quant created as a shared infrastructure for tokenised commercial bank money, was used to carry out the transactions.

This is important since several banks are involved in the project, as opposed to just a single bank testing its own technological devices. The initiative includes participation from Barclays, HSBC UK, Lloyds Banking Group, Monzo, Nationwide, NatWest, and Santander.

Through a shared, interoperable infrastructure, tokenised deposits can be transferred across institutions thanks to the platform. Linklaters created the rulebooks and offered legal advice, while EY handled project management.

The deposits themselves continue to be representations of money from commercial banks. They provide features like programmability and conditional settlement while maintaining the safeguards of traditional deposits.

UK banks have completed the first live customer transactions using tokenised sterling deposits, and they ran on the #GBTD platform built by Quant.

Delivered through the Great British Tokenised Deposit initiative, convened by @UKFtweets with @Barclays, @HSBC_UK, @LloydsBank,… pic.twitter.com/oJjQpU2cys

— Quant (@quantnetwork) September 24, 2026

Programmable Money Targets Payment Friction

The project gets a hands-on test of what programmable deposits can truly accomplish due to the live transactions.

In a traditional payment process, different instructions, checks, and confirmations may be required for the money transfer and the event that initiates it. The GBTD pilots connect those components. Money may be locked until a predetermined condition is met, at which point it may be automatically released.

In addition to reducing fraud and boosting trust between buyers and sellers, this strategy might allow consumers more choice over when their money flows.

Alongside this effort, the Bank of England, HM Treasury, the Financial Conduct Authority, and the Payment Systems Regulator are working on the future of payments in the UK. Therefore, the emphasis is on adding programmable functionality while maintaining the current features of commercial bank money rather than just integrating bank deposits into digital infrastructure.

GBTD Expands Into Digital Assets

At this point, the project is going beyond the initial customer transactions. In Q1 2027, additional tests are expected to test digital asset settlement by linking tokenised customer funds with digital assets for concurrent exchange.

Tokenised deposits will be used to settle and exchange digital debt instruments issued by the participating institutions. Tokenised deposits are also anticipated to be used for the payment of coupons on those securities.

This will link the movement of an asset with the equivalent movement of money and reserves, enabling the project to evaluate delivery versus payment versus reserves.

Digital asset settlement, remortgage transactions, and person-to-person marketplace payments are the three targeted areas of use covered by the larger GBTD program. Therefore, rather than being a stand-alone banking trial, its current live transactions are the starting point of a larger infrastructure initiative.

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