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Lloyds Banking Group and CaixaBank have completed a series of live tokenised deposit transactions as part of Project Agorá, marking another important milestone in the evolution of wholesale cross-border payments.
Lloyds and Caixa complete live tokenised deposits
The real-value tests demonstrate how tokenised commercial bank deposits can streamline foreign exchange, payment and settlement into a single, synchronised transaction, reducing the complexity that characterises today’s international payment infrastructure.
The initiative forms part of Project Agorá, a global public-private collaboration led by the Bank for International Settlements (BIS) and the Institute of International Finance (IIF), bringing together eight central banks and more than 40 financial institutions to explore the future of tokenised wholesale payments.
Tokenisation Brings FX and Settlement Together
Among the most significant tests was a cross-currency transaction in which Lloyds Banking Group converted Swiss francs into sterling using tokenised commercial bank deposits. Unlike conventional cross-border payments, where foreign exchange, payment processing and settlement typically occur through separate systems and at different times, all three elements were executed simultaneously within a single transaction flow.
The integrated approach has the potential to reduce settlement risk, improve transparency and shorten payment times, addressing long-standing inefficiencies in correspondent banking and international treasury operations.
Lloyds also participated in additional Swiss franc and euro-denominated transactions, while CaixaBank completed a live €10,000 transfer through the platform. Funds were transferred from a Lloyds Banking Group account held at Deutsche Bank to CaixaBank, with settlement completed using tokenised central bank reserves provided through the Banque de France before being returned through the same infrastructure.
According to the project participants, the transaction completed in an average of one minute and twenty seconds, demonstrating how tokenised payment rails could significantly accelerate wholesale settlement.
From Proof of Concept to Live Financial Infrastructure
Peter Left, Head of Digital and Markets Innovation at Lloyds Banking Group, described the live testing as an important step beyond laboratory prototypes.
He noted that linking payments, foreign exchange and settlement within a regulated banking framework provides valuable insight into how tokenised deposits could reduce friction in real-world wholesale payments while continuing to operate within existing regulatory structures.
The latest trials build upon Lloyds’ growing involvement in digital asset infrastructure. In January 2026, the bank completed what it described as the UK’s first blockchain-based tokenised deposit transaction, while earlier initiatives included the use of tokenised money market funds and UK government bonds as collateral for foreign exchange trading.
Global Momentum Behind Tokenised Deposits
Project Agorá reflects a wider industry movement towards tokenised commercial bank money as financial institutions search for more efficient settlement mechanisms without abandoning the existing banking system.
Unlike stablecoins, tokenised deposits remain liabilities of regulated commercial banks and operate within established prudential frameworks, making them attractive to policymakers seeking innovation without compromising financial stability.
Global momentum is building. In the United States, JPMorgan Chase, Citi, Bank of America and Wells Fargo have already announced plans to develop a shared tokenised deposit network expected to launch in 2027, highlighting growing confidence that tokenisation will become a core component of next-generation wholesale payments.
For Project Agorá, the successful completion of live transactions represents another step towards demonstrating that programmable money can operate securely, efficiently and at scale within the regulated global financial system.
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