Lloyds, Aberdeen, and Archax Complete UK's First Tokenized FX Collateral Transactions on Hedera

According to Hedera, Lloyds Banking Group, Aberdeen, and digital asset exchange Archax completed the United Kingdom's first foreign exchange transactions backed by tokenized real-world assets as collateral on July 14. The pilot used tokenized shares of Aberdeen's money market fund and digitized UK government bonds on the Hedera blockchain, enabling near real-time collateral transfers and reducing settlement complexity.

Archax, the UK's first FCA-regulated digital asset exchange, issued and transferred the tokenized assets via its Nest permissioned DeFi collateral network, allowing regulated financial institutions to leverage blockchain technology while maintaining compliance. The initiative received recognition from the HM Treasury-backed Wholesale Digital Markets Champion report as an exemplary digital market innovation.