R3 and Quant support the publication of UK Finance’s UK Regulated Liability Network (RLN) experimentation phase report
- R3 and Quant, alongside DXC Technology and Coadjute are technology partners to the UK RLN
London, September 17: R3, the infrastructure platform building digital solutions for financial markets, and Quant, the digital finance pioneer, announce the publication of the results of UK Finance’s UK Regulated Liability Network. The report which follows work with UK Finance with eleven of its members[1] and partners[2] on a new experimentation phase. This is a new type of financial market infrastructure that can deliver new capabilities for payments and settlement, including tokenisation and programmability.
R3 and Quant were selected by the UK RLN, alongside DXC Technology and Coadjute, as technology partners in exploring a number of use cases and in particular the technology workstream which delivered a multi- issuer DLT-based Tokenisation Platform, a comprehensive API for interaction with all forms of money, and an Orchestration Layer. Implementation of the Orchestration Layer seamlessly connected the Tokenisation Platform to different ledgers and integrated with existing systems (e.g. Open Banking, Project Rosalind, and simulated RTGS).
Together with other participants, R3 and Quant reviewed and worked on various technical, legal and business case questions surrounding the development of an RLN and the main conclusions are:
- Such a platform, in collaboration with other important initiatives such as Open Banking, could deliver economic value and support innovation in the market.
- New functionality, such as programmable payments and locking/unlocking of funds, could be delivered across a range of use cases.
- It could provide new and innovative firms with a single, common point of access to enable them to interface with established institutions, and enhanced payment and settlement systems.
- The legal and regulatory framework of the UK is sufficiently flexible to support the implementation of an RLN.
R3 has brought its ability to deliver complex pioneering projects for regulated markets whilst providing the critical distributed ledger capability, via Corda, its leading open permissioned DLT platform, powering the tokenisation of assets and currencies connecting global markets. Quant enabled programmability and interoperability across different forms of money by delivering the orchestration and API layer to the project with its Overledger platform.
Jana Mackintosh, Managing Director of Payments, Innovation and Operational Resilience at UK Finance, said: “Every year, over £11 trillion worth of payments are processed in the UK, powering the economy. The success of the RLN experiment shows the potential of technology to transform the customer experience and deliver economic value and benefits for society.”
“The Experimentation Phase demonstrated the power of industry collaboration to deliver a platform for innovation in the UK. The private sector wants to invest in the future of commercial bank money but needs a partnership with regulators to do so.”
Kate Karimson, R3 Chief Commercial Officer, said: “We’re proud to be a part of this pioneering effort where the UK finance industry has operated across retail, wholesale, technology and legal workstreams in a collaborative manner. R3 is committed to progressing financial markets and enabling an open, trusted and advanced digital economy. The success of the RLN experimentation phase and the publication of a roadmap for the UK economy to harness the potential for the benefits of tokenisation demonstrates our advanced technology implementation capability.”
Gilbert Verdian, Founder and CEO at Quant, said: “The RLN isn’t just about enhancing the efficiency of our current payment infrastructure; it’s about creating different forms of money that will transform the way value and assets are moved and managed. Programmability is at the heart of the transition to digital finance. As the project has proven, programmability brings new functionality across payments and settlement that are inconceivable under the current system. Implementing programmability will be key to cementing the UK’s leadership position in digital finance and futureproofing our capital markets for the decades to come. As the digital economy evolves, we’re excited to continue working with other project participants in delivering further innovation across payments.”
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About R3
R3 is the leader in digital currency, digital assets and interoperability solutions. R3 supports Central Banks, Corporates and FMIs by providing them with solutions to progress financial markets digitization.
Corda is an open, permissioned DLT platform powering the tokenisation of assets and currencies connecting global markets. Corda enables tokenisation with control, security and privacy, providing asset mobility in a permissioned, trusted environment.
R3 is committed to progressing financial markets and to enabling an open, trusted and advanced digital economy.
About Quant
Quant is the foundation of digital finance.
Assets of all kinds, from sovereign currencies to funds, are being tokenised on distributed ledgers – making their ownership immutable, their provenance traceable and their use programmable. Our patented technology makes all this simple, trusted and future-proof.
We help regulated financial institutions and other enterprises to dramatically reduce their time-to-market, create new revenue lines, and mitigate risk by delivering digital currency, payments and capital markets projects with security, resilience, and compliance front of mind >
Founded in 2018, Quant is UK-based with global reach. We spearheaded the Blockchain ISO Standard TC307 adopted by 57 countries and solved DLT interoperability with the creation of the world’s first API-based blockchain platform. This technology, the same as that relied on by our institutional customers, is now available to any developer, regardless of their sector or level of blockchain expertise: Overledger, the enterprise standard for building on blockchain >
[1] Barclays, Citi, HSBC, Lloyds Banking Group, Mastercard, NatWest, Nationwide, Santander, Standard Chartered, Virgin Money and VISA.
[2] EY and Linklaters and a technology team of R3, Quant, DXC Technology and Coadjute.
