London Stock Exchange Joins Kraken to Put 100 UK Stocks on Blockchain

The London Stock Exchange (LSE) is partnering with Payward, the parent company of Kraken, to bring the 100 largest UK-listed companies onto blockchain through xStocks. 

Announced on September 1, 2026, the move could bring traditional equities onto blockchain while keeping key investor protections in place.

LSE and Kraken Bring 100 UK Stocks Onchain

Under the agreement, Payward will add the 100 largest LSE-listed companies to its xStocks platform. Each token will be backed 1:1 by the underlying stock, giving eligible investors in more than 110 countries access to tokenized UK shares. 

However, UK investors will not be able to trade them at launch, as xStocks are currently unavailable in the country. 

The first products are expected within weeks, as companies haven’t announced the launch date.

At the same time, the LSE will explore how its Digital Securities Depository (DSD) can support the settlement and servicing of tokenized shares, subject to regulatory approval. 

The partnership aims to connect traditional stock-market infrastructure with Kraken’s blockchain and digital-asset technology.

Why Is the London Stock Exchange Tokenizing Stocks?

The key reason behind the LSE tokenizing stocks is its trading flexibility. Unlike traditional stock markets that operate during set hours, tokenized equities can trade 24/7 across supported blockchain venues. 

The LSE also plans to list xStocks on its upcoming LSE 24 trading venue in 2027, subject to regulatory approval.

LSE CEO Julia Hoggett said,

“Tokenisation has the potential to change how investors access, and how issuers use, financial markets.”

Further, she added that it must preserve the “trust, rights and role of regulated markets.”

That gives the LSE a way to test blockchain-based trading without removing the existing structure around listed shares.

xStocks Already Crosses $40 Billion Volume

The partnership also comes with an established tokenized-stock platform. Payward said xStocks has processed more than $40 billion in total trading volume, with nearly $20 billion settled onchain and more than 200,000 holders.

Payward’s co-CEO, Arjun Sethi, said the opportunity is to make traditional and crypto markets work on the “same rails.”

The partnership goes beyond tokenized versions of existing shares. LSE and Payward will also explore native equity tokens that could carry the same rights as traditional shares.

For now, the first step is the xStocks rollout. The planned LSE 24 listing still requires regulatory approval, while UK investors remain excluded from xStocks at launch.