Monument Bank delays retail tokenized deposit launch due to UK regulatory hurdles

London-based Monument Bank (Monument Bank) has delayed its 250 million GBP tokenized retail deposit project by several months. The bank struggled to find a local crypto custodian compliant with Financial Conduct Authority (FCA) standards capable of handling zero-knowledge privacy proofs. The project, which utilizes the privacy-focused Layer 1 blockchain Midnight (funded by Charles Hoskinson), is now expected to launch in November. To meet regulatory requirements, the bank has secured a partnership with an FCA-approved Canadian custodian.