London Stock Exchange launches DiSH platform! Tokenizing bank deposits, enabling 24/7 settlement around the clock.

London Stock Exchange Launches DiSH Digital Settlement Service, Tokenizing Commercial Bank Deposits to Achieve 24-Hour Cross-Network Real-Time Settlement, Enhancing Liquidity, Collateral Efficiency, and Reducing Counterparty Risk.

London Stock Exchange Officially Announces DiSH Digital Settlement Service

London Stock Exchange Group (LSEG) announced on January 15th the launch of a new digital settlement service called “Digital Settlement House” (abbreviated as LSEG DiSH), aimed at bringing commercial bank funds onto blockchain technology platforms.

The core function of this service is to tokenize real deposits within commercial banks through its proprietary ledger, “DiSH ledger,” storing them in the system to enable programmable real-time settlement across different independent payment networks.

LSEG states that this innovative technology allows commercial bank funds to maintain 24/7 liquidity across multiple currencies and regions, a significant departure from traditional financial systems limited by operating hours. Through the LSEG DiSH platform, market participants can significantly improve settlement efficiency and liquidity, strengthen collateral usability, and effectively reduce credit risk during transactions.

LSEG Global Markets Head and LCH Group CEO Daniel Maguire stated that this service provides the first “real cash solution” utilizing multiple currencies held by commercial banks and tokenized on the blockchain, enabling seamless integration of existing cash, securities, and digital assets across new and old market infrastructures.

Image Source: Financial News LSEG Global Markets Head and LCH Group CEO Daniel Maguire

Technical Architecture and Cross-Network Real-Time Settlement Mechanism

Technically, LSEG DiSH is positioned as a settlement platform and service under the group's Post Trade Solutions division. The platform operates by allowing users to connect directly to their bank accounts, enabling them to instantly access and control their funds at any participating bank, and convert these deposits into tokenized debt claims on the ledger, called “DiSH Cash.”

This design does not rely on traditional stablecoins but uses tokenized real bank deposits as cash equivalents for foreign exchange, securities, or digital asset transactions. A key feature of LSEG DiSH is its support for trading and settlement of any asset class (including PvP and DvP), ensuring synchronized delivery of assets and funds whether on traditional financial networks or blockchain networks.

To ensure system stability and feasibility, LSEG collaborated with software company Digital Asset and several major financial institutions before going live, completing a proof of concept (PoC) on the Canton Network. During testing, participants successfully transacted across different asset types and currencies, with ownership of all commercial bank deposits accurately recorded on the DiSH ledger, providing a solid technical foundation for real-time transfers.

Further Reading
The Endgame: How the Canton Institutional Blockchain Gained Favor from London Stock Exchange and Baird President’s Office?

Enhancing Capital Efficiency and Risk Management Practices

The launch of LSEG DiSH primarily aims to address long-standing issues in post-trade settlement, especially the problem of funds and assets being locked for hours or days due to system disconnection or slow processing. With its 24/7 operation, the platform shortens settlement timelines and unlocks assets that are typically static during settlement cycles, allowing cash, securities, and digital assets to be continuously utilized.

Additionally, the platform offers intraday borrowing and lending tools to help users manage cash flows more effectively and improve balance sheet operations.

LSEG emphasizes that this synchronized settlement mode not only increases collateral availability but also reduces counterparty risk by shortening settlement processes.

For financial institutions, this means they can quickly mobilize funds across multiple jurisdictions without taking on excessive credit risk. This development continues LSEG’s early blockchain initiatives, as the group’s securities exchange issued tokenized stocks as early as 2019, and in September 2025, partnered with Microsoft to launch a blockchain-based private equity platform.

Global Stablecoin Trends and Regulatory Environment

The launch of LSEG DiSH comes at a critical moment as the global financial system accelerates its adoption of tokenization technology. With supportive US policies and increasing use of digital dollars, stablecoins are gradually transcending their origins in cryptocurrencies to become part of the core financial infrastructure worldwide.

Moody’s latest report indicates that fiat-backed stablecoins and tokenized bank deposits are becoming a new form of “digital cash,” widely used for liquidity management and settlement. Meanwhile, the maturation of global cryptocurrency regulation since 2025 provides a confident operational environment for platforms like DiSH.

Legislators worldwide are no longer viewing digital assets solely as speculative tools but as key components of the financial system, with clear legal frameworks ensuring transparency and accountability of institutional funds. Against this backdrop, LSEG DiSH successfully bridges traditional finance and blockchain settlement, enabling institutions to innovate within a regulated environment.

The launch of this service not only reflects the trend of real-world asset (RWA) tokenization but also signals a future where financial markets operate with seamless, 24/7 asset and fund flows. LSEG plans to continue collaborating with market partners to further expand the platform’s features and applications.