The UK plans to test its first tokenized government bond through HSBC and the London Stock Exchange Group in early 2027, but industry insiders point out that whether the project can create a functional capital market depends on resolving the issue of on-chain cash settlement. Currently, the UK lacks a standardized on-chain payment method, and a compliant GBP stablecoin is seen as a potential solution. Additionally, existing laws on settlement finality have yet to cover distributed ledgers. The UK's relevant working group aims to complete end-to-end tokenized repo transaction testing by spring 2027. (CoinDesk) https://(wublock123.com)/news/uk-tokenized-gilt-cash-settlement-onchain-challenge-65113