UK banking giant Barclays is actively exploring the development of a blockchain-based platform to handle core banking functions, including payments, deposits, and crypto-related applications like stablecoins and tokenized deposits. According to a Bloomberg report citing people familiar with the matter, the lender has issued requests for information to several technology suppliers, with a vendor selection potentially being made as early as April.
The initiative represents a significant step by a major traditional financial institution to modernize legacy systems using decentralized ledger technology. The planned platform would position Barclays to compete with other banking pioneers in the space, such as JPMorgan, which launched its JPM Coin for tokenized deposits in 2019, and HSBC, which has also enabled tokenized deposits.
Barclays' recent activity signals a growing institutional focus on digital assets. Last month, the bank made its first stablecoin-related investment in Ubyx, a US-based stablecoin clearing platform. Separate, unconfirmed reports have also suggested Barclays may be involved in a potential initial public offering by crypto hardware company Ledger.
Bloomberg framed the move within a broader industry trend, where banks and technology companies are accelerating their evaluation of stablecoins and tokenized payment systems. These technologies promise faster, lower-cost, and 24/7 settlement compared to traditional payment rails. The report notes that the combined market capitalization of stablecoins is now approaching $310 billion.
The shift isn't limited to banks. Meta Platforms is reportedly revisiting its stablecoin ambitions, signaling renewed Big Tech interest in blockchain-based payments years after shelving its Diem project.
For traditional lenders, this presents both an opportunity and a competitive risk. Widespread adoption of privately issued digital dollars could potentially weaken banks' control over deposits and payment flows. This debate is particularly relevant in the United States, where lawmakers are currently weighing stablecoin legislation.
