BMO, CME Group, and Google Cloud have announced plans to introduce tokenized cash capabilities for institutional clients, enabling round-the-clock movement of value for margin calls, trading, and settlement on CME Group's permissioned network built on Google Cloud Universal Ledger (GCUL).
The platform allows BMO clients to convert US dollars into a tokenized instrument for use with margined products at CME Group, supporting real-time settlement needs that are currently constrained by conventional banking hours and cut-off times. The tokenized cash capability is intended for mutual clients of CME Group and BMO, with a planned launch in the second half of 2026, subject to regulatory approval.
Platform architecture and broader capabilities
GCUL is a programmable, distributed ledger designed for integration by traditional financial institutions, providing a private and permissioned network for account management, asset management, and value transfer. The collaboration builds on a March 2025 announcement between CME Group and Google Cloud to pilot wholesale payment and asset tokenization solutions using GCUL.
In addition to tokenized cash for capital markets use, BMO plans to introduce tokenized deposits, traditional commercial bank funds in digital form, available to a broader set of BMO clients for general-purpose B2B payments, treasury movements, and programmable cash applications. Together, the two capabilities are designed to allow institutions to move collateral and meet settlement obligations continuously, removing dependence on traditional banking cycles.
The initiative reflects growing institutional demand for always-on financial infrastructure as global markets extend trading hours and move towards more continuous settlement models. Stablecoin and tokenized deposit frameworks are increasingly seen as the mechanism through which regulated institutions can participate in this shift without leaving the conventional banking system.
Commenting on the news, Derek Vernon, Head of North American Treasury and Payment Solutions at BMO, said the capability marks significant progress in bringing regulated money movement into a modern, programmable environment. Expanding on this, Suzanne Sprague, COO and Global Head of Clearing at CME Group, said tokenizing cash at CME Clearing will allow firms to meet margin requirements in real time, freeing up capital that would otherwise wait for traditional banking cycles.
