The London Stock Exchange Group (LSEG) has announced plans to introduce an on-chain settlement service for institutional investors, named LSEG Digital Securities Depository. This initiative aims to bridge traditional securities markets with blockchain networks, facilitating the trading and settlement of tokenized bonds, stocks, and private market assets. The platform is designed to be compatible with multiple blockchain networks and existing infrastructure, with a projected launch in 2026, pending regulatory approval. LSEG's new system represents an expansion of its digital asset strategy, building on its existing blockchain platform for private equity funds hosted on Microsoft Azure. The company plans to form a strategic partner group to gather market feedback and develop an ecosystem that integrates digital and traditional markets globally. Major UK financial institutions, including Barclays, Lloyds, National Westminster Markets, Standard Chartered, and Brookfield, have shown support for the project.