CME Group, a leading derivatives marketplace, is collaborating with Google Cloud to pilot asset tokenization and enhance capital market efficiency. The two groups completed initial integration and testing of Google Cloud’s Universal Ledger, a distributed ledger designed for traditional financial institutions. GCUL is a programmable, distributed ledger tailored for financial institutions. It simplifies account and asset management and facilitates secure transfers on a private, permissioned network. You might also like: KULR boosts Bitcoin holdings to 668 BTC, reports 181.1% yield A shift towards tokenization Tokenization involves converting rights to an asset into a digital token on a blockchain or distributed ledger. This process can apply to various assets, including stocks, bonds, or commodities, enabling more efficient and secure transactions. A distributed ledger is a digital system for recording transactions where each participant holds a synchronized copy, enhancing transparency and security. CME Group Will Introduce Tokenization Technology to Enhance Capital Market Efficiency Using Google Cloud's New Universal Ledger https://t.co/TuHxQKSjc5 — CME Group (@CMEGroup) March 25, 2025 This technology aims to streamline processes like collateral management, margin calculations, settlements, and fee payments, supporting the financial industry’s shift toward continuous, 24/7 trading. Later this year, CME Group and Google Cloud plan to conduct direct testing with market participants, with the goal of launching new services in 2026. This initiative reflects a broader trend of traditional financial institutions exploring blockchain technology to improve efficiency and reduce costs. You might also like: Exclusive: Blocksquare’s new interface boosts RWA experience
