Chainlink, a decentralized oracle network that bridges smart contracts with real-world information, has been selected to participate in the Bank of England’s Synchronisation Lab. This innovative program aims to explore how blockchain-based assets can be settled alongside traditional central bank money.
The announcement highlights Chainlink’s role among 18 companies chosen to investigate the coordination of settlements between sterling held at the central bank and securities maintained on distributed ledger technology. The lab is set to launch in spring 2026 and will operate for approximately six months.
Chainlink’s contribution will focus on developing a decentralized method for executing settlements that connect central bank funds with digitally issued securities. Alongside Chainlink, UAC Labs AG will pursue similar objectives, while other participants such as Swift, LSEG, and Partior plan to test applications including foreign exchange transactions, tokenized bonds issuance, and collateral management solutions.
This Synchronisation Lab is part of the Bank of England’s wider initiative to upgrade its Real-Time Gross Settlement system (RT2). Participants will engage with a simulated environment featuring dedicated APIs and user interfaces designed to demonstrate how their platforms can integrate seamlessly with payment providers and asset registries.
The Bank has clarified that this lab does not involve actual monetary transfers nor does it grant any regulatory endorsements. Instead, insights gained from this experiment are intended to guide future development decisions regarding live synchronization capabilities between traditional financial systems and blockchain networks.
This project coincides with ongoing consultations by UK regulators concerning systemic stablecoins—proposed regulations aimed at digital tokens backed by government bonds or deposits held at central banks.
Stay tuned for more updates as this story evolves.