Barclays Looks to Deploy Blockchain for Core Payments and Deposit Services, Bloomberg Reports
London‑based Barclays is actively vetting blockchain platforms that could underpin its payment‑processing, deposit‑handling and emerging crypto‑related offerings, signaling another major incumbent’s move toward token‑based infrastructure.
What the report says
According to Bloomberg, senior sources familiar with the bank’s internal projects disclosed that Barclays has opened a request‑for‑information (RFI) process aimed at technology vendors capable of delivering a permissioned‑ledger solution for its core banking operations. The RFI, sent to an undisclosed list of suppliers, seeks a system that can support:
- high‑volume domestic and cross‑border payments,
- real‑time deposit processing,
- integration of stablecoins and other tokenised assets such as “tokenised deposits,” and
- potential future crypto‑related services.
The bank plans to review the proposals and could announce a preferred vendor as early as April, the source added.
Recent crypto‑related activity at Barclays
Barclays’ interest in blockchain is not an isolated curiosity. In the preceding month, the lender announced a strategic investment in Ubyx, a U.S. platform that clears stablecoin transactions, marking its first direct exposure to a stablecoin‑focused business. Separate reporting has also hinted that Barclays may be consulted on the possible initial public offering of Ledger, the hardware‑wallet manufacturer, although no formal commitment has been confirmed.
Both moves suggest the bank is positioning itself to participate in the broader shift toward token‑based financial services.
The wider industry push
Barclays’ initiative mirrors a growing wave of activity among traditional financial institutions and technology firms that are re‑examining stablecoins as a means to achieve faster, cheaper and 24/7 settlement. Permissioned‑ledger projects are being explored for:
- Reduced settlement latency – tokenised dollars can move instantly, unlike the hours‑long processing times of the Automated Clearing House (ACH) or SWIFT.
- Lower operating costs – eliminating or shrinking the role of intermediary clearinghouses.
- Cross‑border efficiency – on‑chain settlement can bypass legacy correspondent banking networks.
Big‑tech players are also re‑entering the arena; Meta Platforms, after shelving its Diem experiment, is reportedly revisiting stablecoin integration for its payment products.
Why stablecoins matter to banks
For a bank like Barclays, stablecoins represent both opportunity and competitive pressure. On the upside, offering tokenised deposits or on‑chain settlement could attract corporate clients seeking quicker liquidity solutions. On the downside, widespread adoption of privately issued digital dollars could erode the traditional deposit base that underpins a bank’s funding model.
Regulatory scrutiny is intensifying, especially in the United States, where lawmakers are debating the appropriate market structure for stablecoins and whether issuers should be allowed to provide yield‑bearing features. Even without interest‑paying mechanisms, the migration of large‑scale liquidity into tokenised assets could reshape the balance sheets of legacy banks.
Analyst view
- Strategic timing – Barclays’ RFI appears to be timed with the maturing of permissioned‑ledger technology and the increasing commercial viability of stablecoins.
- Vendor landscape – The market for enterprise‑grade blockchain platforms has expanded, with players such as Hyperledger, Corda, and consortia‑driven solutions offering the scalability and compliance features required by a major bank.
- Potential impact – If Barclays selects a platform and pilots it within a year, the bank could become one of the first major UK lenders to run core payment and deposit functions on a blockchain, setting a precedent for peers.
Key takeaways
- Barclays is actively seeking a blockchain solution for payments, deposits, and token‑based applications, with a vendor decision possibly by April.
- Recent investments (Ubyx) and rumored involvement (Ledger IPO) underscore the bank’s broader commitment to the digital‑asset ecosystem.
- Stablecoins are at the centre of a wider industry shift, offering faster settlement but also posing a threat to traditional deposit‑funding models.
- Regulatory developments, especially in the U.S., will shape adoption; banks must balance innovation with compliance and risk management.
- If successful, Barclays could set a benchmark for integrating permissioned‑ledger technology into core banking, accelerating the tokenisation of financial services across the sector.
Barclays’ next steps will be closely watched by both the financial establishment and the crypto community, as the outcome may signal how quickly legacy banks can transition from legacy infrastructure to blockchain‑enabled operations.
Source: https://cointelegraph.com/news/barclays-blockchain-payments-deposits-stablecoins-bloomberg?utm_source=rss_feed&utm_medium=feed&utm_campaign=rss_partner_inbound
