The UK Treasury's recent report on tokenization highlights Ripple as a model for convergence between traditional finance and crypto-native companies. Ripple's $1.25 billion acquisition of prime broker Hidden Road, now Ripple Prime, is noted for holding both an investment-firm license and cryptoasset registration from the Financial Conduct Authority. Additionally, Santander U.K.'s use of Ripple's blockchain for cross-border payments is cited as a successful white-labeling example.
The report also addresses challenges with permissionless chains, such as the risk of transaction reversals due to chain reorganizations, which traditional infrastructures do not face. It outlines regulatory timelines, noting that both the U.S. and U.K. aim for full stablecoin regulation by 2027, with the U.K. leading in wholesale policy. The Financial Conduct Authority's new regime under the Financial Services and Markets Act is set to begin next year, with applications opening on September 30, 2026, ahead of an October 2027 launch.
UK Treasury Highlights Ripple in Tokenization Report
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