GBBC Responds to the Wholesale Digital Markets Champion’s First Report

GBBC has submitted its comments on the Wholesale Digital Markets Champion’s first report, which sets out a programme for developing scalable tokenized wholesale markets in the UK.

GBBC welcomes the report and the work undertaken by Christopher Woolard CBE and the Digital Markets Champion Industry Taskforce. Its focus on secondary markets, collateral, settlement money, interoperability and legal certainty reflects the practical barriers that must be addressed if the UK is to move from individual pilots to live and repeatable market activity.

GBBC’s response draws on feedback from its members and the strategic direction established in A Vision for the UK in the Global Digital-Asset Economy.

The response recommends:

🔹 Using the proposed repo transaction to test the complete lifecycle of a tokenized wholesale transaction, including custody, collateral management, settlement finality, default and recovery

🔹 Providing an investable route from the Digital Securities Sandbox into permanent operation

🔹 Assessing central-bank money, tokenized deposits and regulated stablecoins against common requirements for legal discharge, convertibility, liquidity and resilience

🔹 Defining open interoperability in terms of legal continuity, asset identity, portability and responsibility for transaction failure

🔹 Developing a proportionate supervisory approach to public and hybrid networks

🔹 Testing legal enforceability and operational resilience under stress, rather than focusing only on successful settlement

GBBC’s central position is that tokenization should be treated as an evolution of financial-market infrastructure. Success should therefore be measured by whether tokenized instruments can be issued repeatedly, traded, financed, held in institutional custody, used as collateral and settled with legal certainty.

GBBC stands ready to support the Champion, HM Treasury and the UK Authorities by convening expertise across traditional finance and the digital-asset ecosystem and translating market experience into implementable policy.

Read GBBC’s full response here.