Key facts
- Consultation paper closes February 12, 2027.
- Bank of England expects to publish policy response and rules later this quarter.
The Bank of England has initiated a consultation process to determine how central counterparties (CCPs) can accept digital representations of eligible collateral. The draft supervisory statement aims to clarify the existing approval process for CCPs, ensuring that tokenized assets meet the same valuation, transfer, and realization standards as traditional collateral, even under stressed conditions. This initiative is part of a broader effort to foster responsible adoption of tokenization in financial markets while maintaining financial stability. The consultation period will conclude on February 12, 2027, with the Bank anticipating the release of its policy response and final rules later in the current quarter.