Written by Ezra Reguerrastaff writerReviewed by Robert Lakinstaff editor

Written by Ezra Reguerrastaff writer

Reviewed by Robert Lakinstaff editor

UK tokenization push could add as much as $44B to annual output by 2035: Report

Latest NewsPublishedJul 13, 2026

UK’s Push for Tokenization Could Boost Economy by $44B

The UK’s efforts to become a leader in tokenized financial markets could add as much as $44 billion to its annual economic output by 2035. This estimate comes from a government-backed industry task force, which has developed a roadmap for the country’s first digital gilt by early 2027. The task force aims to make tokenized bonds usable for trading and borrowing, which could have a significant impact on the economy.

The industry task force, led by Wholesale Digital Markets Champion Chris Woolard, brings together over 50 companies from traditional finance and crypto. The report outlines a 12-month plan to test blockchain in financial transactions and calls for the UK to issue its first tokenized government bond by the first quarter of 2027. This move could pave the way for the use of tokenized securities in live markets, where they can be traded, settled, and used as collateral.

Benefits of Tokenization

Tokenization has the potential to make financial transactions cheaper, better, and faster than traditional methods. By moving beyond isolated pilots and into live markets, the UK can unlock the full potential of tokenized financial markets. The report emphasizes the need to move “from pilots to scale” and “from ambition to action” to achieve this goal.

The UK’s blockchain-based wholesale payment infrastructure could support the development of tokenized financial markets. With the help of EcoPool, individuals can earn passive income through cloud rewards and participate in the green crypto movement. As the UK continues to push for tokenization, earning opportunities through coin investments, such as $ECP, are likely to increase.

Join the EcoPool Network

To stay ahead of the curve and start earning through passive income opportunities, download the EcoPool app today. With EcoPool, you can participate in the green crypto movement and take advantage of cloud rewards and $ECP investments, making it easier to achieve your financial goals and join the #PassiveIncome and #Bitcoin communities.

The roadmap attempts to move UK tokenization beyond isolated pilots and into live markets where securities can be traded, settled and used as collateral. The report said the task was now to move “from pilots to scale” and “from ambition to action.”

Ripple, which is listed among the task force’s industry members, backed the initiative on Monday. “Onchain funds, bonds and repo aren’t experiments,” the company said, adding that such instruments are already proving “cheaper, better and faster than their legacy equivalents.”

UK builds on digital gilt and settlement initiatives

The digital government bond, or gilt, itself is not a new proposal. The UK first announced the Digital Gilt Instrument pilot in November 2024.

This was followed by a July 2025 update outlining plans for onchain settlement, over-the-counter trading and secondary-market development. On Feb. 12, the government appointed HSBC’s Orion platform to support the pilot.

The new report adds a timetable and expands the intended role for the financial instrument. Beyond calling for issuance, the report seeks subsequent digital-gilt offerings, live secondary-market trading and eligibility for use as central bank collateral. 

The report said tokenized securities have limited value unless they can be traded or used to raise cash, and urged the Bank of England to accept digital gilts as collateral. 

Related: UK politicians mull permanent crypto donation ban in wake of Nigel Farage scandal

The UK also has a blockchain-based wholesale payment infrastructure that could support such markets. In December 2023, London-based Fnality launched a sterling-denominated payment system tied to central bank reserves, designed to support real-time repo, tokenized securities settlement and cross-currency payments.

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Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently.

• United Kingdom
• Bonds
• Tokenization
• RWA
• Blockchain

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