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The Bank of England Wants to Run Its Settlement Infrastructure Near 24/7 to Keep Up With Tokenized Finance
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The Bank of England has proposed extending operating hours for its core settlement infrastructure toward near-24/7 availability, a significant shift for a system that currently operates on traditional banking hours. The proposal targets the Real-Time Gross Settlement system and the Clearing House Automated Payment System, seeking to add weekend availability and extended daily hours to accommodate the demands of cross-border payments and the emerging tokenized finance ecosystem. The consultation is open for public feedback until July 3, with a feedback statement planned for later in the summer. The move was announced alongside a joint letter with the Financial Conduct Authority outlining a shared vision for tokenization in UK wholesale markets.
The timing reflects how seriously UK regulators are taking the infrastructure demands of tokenized finance. Blockchain-based assets and tokenized funds can in principle be traded and settled around the clock, but that capability is limited in practice when the underlying settlement rails that back those transactions only operate during business hours on weekdays. Extending RTGS and CHAPS availability would allow tokenized transactions to settle in central bank money at any time, removing one of the key friction points holding back more ambitious tokenization projects. Coinbase's head of policy for Europe described the announcement as a clear vision being set out for tokenization in wholesale markets, highlighting the opportunity not just for companies seeking new pools of capital but for individuals globally who currently cannot participate in capital markets at all.
