Tokenized UK Gilts Used in Cross-Border Intraday Repo on Canton, With Citadel Securities and DTCC in the Group
The industry working group's fourth round added the first cross-currency repo of tokenized gilts against non-sterling tokenized deposits, with LSEG's DiSH Cash as the cash leg.
Digital Asset and a group of financial institutions said on 24 February 2026 that they had completed a fourth set of transactions on the Canton Network, including what they described as the first cross-border intraday repo transactions using tokenized UK gilts.
What was done
According to the release:
- Gilts as collateral. Tokenized gilts were used as collateral in cross-border intraday repo transactions.
- Cross-currency. The group also ran what it called the first cross-currency intraday repo using tokenized gilts against non-sterling tokenized deposits.
- Bank money as the cash leg. LSEG said the gilt repo used DiSH Cash, the tokenized commercial bank deposit service of its Digital Settlement House.
- Terms in code. TreasurySpring said haircuts and repo interest were embedded in smart contracts.
No transaction sizes or values were disclosed.
Who took part
The release lists twelve firms: LSEG, Euroclear, Citadel Securities, Tradeweb, Societe Generale, Virtu Financial, DTCC, Digital Asset, Cumberland DRW, TreasurySpring, Archax and IntellectEU. Archax, a regulated digital asset exchange, broker and custodian, joined the working group. Archax chief executive Graham Rodford said his firm buys and holds real-world assets such as gilts and tokenizes them for uses like this one.
LSEG welcomed Citadel Securities and TreasurySpring to its DiSH network. Chris Elms, chief executive of Euroclear UK and International, called the transactions a significant step for tokenizing gilts. The group said it plans to keep working on on-chain financing through 2026.
The series so far
The working group's first round, in July 2025, financed US Treasuries against USDC on chain. Its third round, announced on 15 January 2026, added cross-border repo using European government bonds, US Treasuries, euro and dollar cash, with DiSH deposits as the cash leg. Digital Asset's Kelly Mathieson said the new round builds on that one with tokenized gilts.
Why it matters
Gilts are the UK government's debt and core collateral in sterling markets. Using them in intraday, cross-currency repo with tokenized bank deposits on the cash side tests a model in which collateral and cash both move on chain, at any hour, between institutions in different jurisdictions. The participant list, which now includes DTCC and Citadel Securities, shows how much of the market's plumbing is involved, although the trades remain demonstrations rather than a production service.
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Sources
Cover photo: Paternoster Square by gren, public domain, via Wikimedia Commons, cropped.
