- Successful Trial of Regulated Liability Network
- Innovations and Opportunities in Blockchain Technology
- Collaboration with Regulators and Risk Reduction
UK Finance has announced the successful trial of the Regulated Liability Network (RLN), a blockchain-powered system designed to handle central bank digital currencies (CBDCs) and tokenized assets.
Successful Trial of Regulated Liability Network
In a press release dated September 17, the association announced the completion of RLN tests, designed to enable central banks and commercial banks to manage digital assets. The system was tested with 11 major banks in the country.
Innovations and Opportunities in Blockchain Technology
UK Finance highlighted RLN's potential to drive innovation, mentioning features like programmable payments. Experiments revealed that RLN could provide new firms with a ‘common point of access’ to interface with established financial institutions and enhanced payment systems.
Collaboration with Regulators and Risk Reduction
UK Finance called for increased collaboration with regulators and public bodies to further develop the RLN network, which could help reduce fraud and minimize costs of failed transactions. The association noted that the UK's legal and regulatory framework is flexible enough to support this ‘platform for innovation’, though additional steps are needed for full implementation and regulatory alignment.
UK Finance believes that the RLN platform aligns with the Bank of England's goals to maintain the ‘singleness of money’ and continue driving innovation within the UK's payment sector.
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