Bank of Montreal (BMO) announced on March 24, 2026, that it is launching tokenized cash and deposit capabilities in collaboration with CME Group and Google Cloud. This makes BMO the first bank to deploy CME's institutional tokenized cash solution on the Google Cloud Universal Ledger (GCUL), a private, permissioned distributed ledger designed for traditional financial institutions.
The platform will allow BMO's institutional clients to convert U.S. dollars into a tokenized instrument for use in 24/7 margin, collateral, and settlement activities for derivatives trading at CME Group. This eliminates the time constraints of conventional banking infrastructure, enabling real-time margin calls and high-value settlements at any time. The full service for regulated financial firms is targeted for the second half of 2026, pending regulatory approval.
BMO's initiative includes two distinct products. The first is tokenized cash, designed for mutual clients of CME and BMO in capital markets. The second is tokenized deposits, which has a broader scope, enabling B2B payments, treasury movements, and programmable cash applications for a wider set of BMO clients.
The infrastructure is built on GCUL, which CME and Google Cloud began piloting in March 2025. CME CEO Terry Duffy had signaled in February 2026 that the exchange was evaluating its own digital token for collateral and settlement, framing BMO's participation as the ideal bank-anchored model. The announcement aligns with regulatory momentum, including a December 2025 CFTC pilot allowing tokenized assets like Bitcoin and Ethereum as margin collateral.
