The London Stock Exchange Group (LSEG) has launched a new digital settlement service aimed at bringing commercial bank money onto blockchain infrastructure.
The platform, known as Digital Settlement House (DiSH), enables near-instant settlement across both blockchain-based and traditional payment systems, operating 24/7 across multiple currencies and jurisdictions, LSEG said in a Thursday announcement.
At the center of the service is DiSH Cash, a ledger-based representation of commercial bank deposits. Instead of relying on stablecoins, the system uses tokenized claims on actual bank deposits, providing what LSEG described as a “real cash leg” for foreign exchange, securities, and digital asset transactions.
“With LSEG DiSH, market participants will be able to conduct payment-versus-payment (PvP) or delivery-versus-payment (DvP) settlements using any asset, orchestrating payments across connected digital and traditional networks,” the group said.
DiSH targets faster post-trade settlement
LSEG said DiSH is designed to address long-standing inefficiencies in post-trade settlement, where cash and securities can be tied up for hours or even days due to fragmented systems and slow processing.
“The service enables users to reduce settlement risk through shorter settlement cycles, synchronized settlement, and improved collateral availability,” the financial markets infrastructure provider said.
The launch follows a successful proof-of-concept conducted with Digital Asset and a group of major financial institutions on the Canton Network. During the trial, trades across multiple asset classes and currencies were settled using tokenized commercial bank deposits as the cash leg, with ownership recorded directly on the DiSH ledger.
Stablecoins move deeper into market infrastructure
LSEG’s initiative comes as stablecoins increasingly embed themselves into the core plumbing of global finance, moving beyond their crypto-native origins, according to a recent outlook report from Moody’s.
The report found that stablecoins handled roughly $9 trillion in settlement volume in 2025, an 87% increase from the prior year, with growth largely driven by onchain activity rather than traditional bank-to-bank payments.
Moody’s said fiat-backed stablecoins and tokenized bank deposits are emerging as forms of “digital cash,” increasingly used for liquidity management, collateral transfers, and settlement within a more tokenized financial system.
