ClearToken and Consensys have agreed to develop infrastructure connecting banks’ tokenised assets with wholesale settlement. The 8 October partnership brings Consensys’ blockchain, wallet and interoperability technology together with ClearToken’s planned digital securities depository and clearing services, plus its existing settlement operation.[1]
Their intended architecture would allow securities held across different banks to be represented as a fungible instrument and exchanged against fiat currency, tokenised deposits or stablecoins. Consensys would supply technology and distribution capabilities; ClearToken would provide the market-infrastructure functions supporting issuance, settlement and, subject to approval, clearing.[1]
The operating entities have different permissions
ClearToken components relevant to the partnership
| Entity | Function and current position |
|---|---|
| ClearToken Depository Limited | Operating settlement and payment company; lists FCA payment-institution authorisation and crypto-asset anti-money-laundering registration.Source 2 |
| ClearToken CSD Limited | Digital securities depository; passed the Bank of England’s Gate 2 on 18 September. The company lists it as not yet operational.Source 3Source 2 |
| ClearToken CCP Limited | Central counterparty applicant; applied to the Bank of England on 14 September. The company lists it as not yet operational.Source 4Source 2 |
The distinction matters to the proposed service. A securities depository records and settles securities interests; a central counterparty takes on a different role in managing obligations between participants. ClearToken’s clearing application proposes continuous netting across products, so offsetting positions could reduce the amount requiring settlement. That functionality remains part of the applicant’s plan.[4]
A bounded securities sandbox
The Bank of England’s approval covers certificates represented by tokenised depository interests, backed one-for-one by underlying assets. It sets limits of £600 million for UK government debt, £900 million for sterling corporate bonds and £1.8 billion for other corporate bonds. A limit for certificates linked to FTSE 350 shares remains to be confirmed.[3]
The notice also requires readiness and capital confirmations, restricts direct retail access and requires the underlying assets to be safeguarded by an appropriately authorised firm. Gate 2 therefore supplies a defined route into live securities activity with conditions and limits. It is a separate permission from the group’s pending central-counterparty authorisation.[3]
For banks considering the partnership, the practical proposition is interoperability: a holding created through one institution should be usable in a wider settlement network. The proposed common instrument addresses the problem of otherwise similar holdings becoming isolated on separate platforms. The legal entities and their operating permissions determine which parts of that network can be used.[1]
ClearToken intends CT Clear to begin with fiat currencies, digital currencies and stablecoins, with tokenised securities and related derivatives following subject to further permissions. The connection to banks’ tokenisation systems, securities depository and portfolio netting service consequently have separate delivery milestones.[4]
Sources & further reading
- Consensys and Clear partner to bring 24/7 settlement infrastructure to wholesale markets Consensys · 8 Oct 2026 · Accessed 20 Oct 2026
- Legal & Regulatory ClearToken · Accessed 20 Oct 2026
- ClearToken CSD Limited: Gate 2 Sandbox Approval Notice Bank of England · 18 Sep 2026 · Accessed 20 Oct 2026
- ClearToken applies to the Bank of England for authorisation to launch CT Clear as a central counterparty ClearToken · 14 Sep 2026 · Accessed 20 Oct 2026