HSBC Gets First Bank of England Approval Under UK Digital Securities Sandbox
Summary
- Global investment bank HSBC said it has received approval under the UK’s Digital Securities Sandbox (DSS).
- HSBC Orion was authorized to operate a digital securities depository within the DSS, making HSBC the first company to win approval from the Bank of England (BOE).
- HSBC Orion plans to support issuance of digital bonds, including the digital gilt DIGIT, and HSBC said the platform has already supported $5 billion of issuance globally.
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HSBC has received approval under the UK’s Digital Securities Sandbox.
Cointelegraph reported on July 17 that HSBC’s digital-asset platform, HSBC Orion, was authorized that day to operate as a digital securities depository within the sandbox. HSBC said it is the first company to receive operating approval under the framework from the Bank of England.
The Digital Securities Sandbox is a regulatory framework launched jointly in 2024 by the Bank of England and the Financial Conduct Authority. It aims to apply distributed ledger technology to the issuance, trading and settlement of securities.
HSBC Orion plans to support digital bond issuance, including DIGIT, the UK government’s planned digital gilt program. HSBC said Orion has already supported $5 billion of digital bond issuance globally.
Separately, the UK Treasury expects the first DIGIT transaction to take place in the first quarter of 2027.
JOON HYOUNG LEE
gilson@bloomingbit.ioCrypto Journalist based in Seoul