The UK regulator has approved ClearToken's cryptocurrency and stablecoin settlement platform

The London-based digital asset clearing and settlement company ClearToken has received authorization from the UK's Financial Conduct Authority (FCA) to operate its delivery versus payment (DvP) platform named CT Settle.

The system will handle spot trading of crypto assets, stablecoins, and fiat currencies, extending traditional financial infrastructure standards to the digital market. This approval allows regulated financial institutions to settle transactions in a controlled environment, mirroring the security and operational discipline of traditional clearing systems. ClearToken states that CT Settle aims to address the structural weaknesses of cryptocurrencies—specifically the capital inefficiency of pre-funded trades on exchanges and over-the-counter desks—by improving this situation through the implementation of true DvP settlement, which synchronizes the transfer of cash and assets.

The company has received investor support, including from Nomura's Laser Digital. ClearToken plans to introduce a central counterparty clearing house (CCP) after obtaining approval from the Bank of England and to extend its services to tokenized securities through a digital securities sandbox program. The platform is expected to go live in early 2025.