Monument delays £250M tokenised deposit launch

• Monument Bank has delayed its planned £250 million tokenised-deposit rollout in the UK.
• The delay stems from difficulties finding a custodian that meets FCA requirements and supports zero-knowledge technology.
• The bank now expects to launch the deposits by November after finding an FCA-approved Canadian custodian.

Monument Bank has delayed its planned £250 million tokenised-deposit rollout after facing a UK custody bottleneck.

The London-based bank had expected to launch the deposits several months earlier, but regulatory requirements delayed the project.

Monument struggled to find a local crypto custodian that could meet FCA standards and handle zero-knowledge privacy proofs.

The bank has found an FCA-approved custodian in Canada and now expects to roll out the deposits by November.

Monument will keep the deposits interest-bearing, fully backed and redeemable one-for-one in pounds.

The deposits will also remain covered by the Financial Services Compensation Scheme, with protection capped at £120,000 per person or company.