Payward to Tokenize London’s Top 100 Companies, Excluding UK Residents

Payward, the parent company of Kraken, announced that it will issue tokenized representations of the 100 largest listed companies in London within weeks. The tokens, called xStocks, will be available to investors in more than 110 jurisdictions, while residents of the United Kingdom will be excluded.

How the Tokens Work

Each xStock mirrors the price movement of a single underlying share but is issued by Backed Assets (JE) Limited, a Jersey‑registered entity that Payward agreed to acquire in December. Holders receive price exposure and can transfer the tokens 24/7 via wallets or on‑chain applications. However, the tokens do not confer shareholder registration, voting rights, or direct ownership of the underlying stock.

Scale and Market Impact

The FTSE 100, valued at roughly $3.47 trillion at the end of July, represents the broader market that these tokens tap into. According to data from RWA.xyz, the total on‑chain value of all tokenized London stocks across chains was about $2.5 billion on the latest measurement, with xStocks accounting for approximately $607 million of that total, behind rival issuer Ondo Finance.

Regulatory and Exchange Timeline

The London Stock Exchange Group (LSEG) plans to launch a 24‑hour, five‑day‑a‑week venue called LSE 24, with testing slated for late 2026 and a target listing window in the first half of 2027. Full equity tokenization on the exchange is expected after that timeline, and no definitive launch date for the on‑chain tokens has been set.

Future Outlook

Both Payward and LSEG have indicated interest in exploring native LSE‑issued tokens that would carry full shareholder rights. Payward previously struck a similar agreement with Nasdaq in March, also targeting a 2027 rollout, suggesting a broader industry trend of issuing tokenized blue‑chip equities through offshore entities before integrating them into regulated exchanges.