The post Cardano-Linked Midnight Network Lands First U.K. Bank for Tokenized Deposits appeared on BitcoinEthereumNews.com.

Blockchain Monument Bank said it will tokenize up to £250 million ($335 million) of retail customer deposits on the Midnight network, marking what it described as the first such initiative by a U.K.-regulated bank on a public blockchain. Key Takeaways Monument Bank will tokenize up to £250 million in retail deposits on Midnight. Deposits remain fully backed, interest-bearing and FSCS-protected. The initiative targets mass-affluent clients rather than institutions. Midnight’s privacy-focused infrastructure enables compliant onchain banking. Future phases include tokenized investments and lending against onchain assets. Retail Banking Moves Onchain According to information from Midnight Foundation the London-based challenger bank said the tokenized deposits will function like traditional savings, remaining redeemable one-for-one in pounds sterling while continuing to earn interest. Crucially, they will also remain covered under the U.K.’s Financial Services Compensation Scheme, preserving the same protections as conventional deposits. The rollout represents a shift in how tokenization is being applied within banking. While previous efforts have largely focused on institutional settlement or closed networks, Monument is extending the model to retail customers, starting with individuals holding between £50,000 and £5 million in investable assets. The first phase will mirror customer balances on Midnight, a privacy-focused blockchain developed by Shielded Technologies, linked to the Cardano ecosystem. Transaction visibility will be restricted to the bank and its clients, aligning with regulatory and compliance requirements. From Tokenized Deposits to Full-Service Onchain Finance Monument’s longer-term strategy extends beyond deposits. The bank plans to introduce tokenized investment products, including exposure to private markets and commodities, followed by lending services collateralized by those onchain assets. The initiative also has an infrastructure angle. Monument said its affiliate, Monument Technology, intends to offer tokenized deposit capabilities through a Banking-as-a-Service model, allowing other institutions to adopt similar systems. This positions the project not just as a product rollout, but…

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Filed under: News - @ March 26, 2026 8:25 pm