Umair
CME Group has initiated a pilot program with Google Cloud to explore asset tokenization and streamline wholesale payment processes using blockchain, according to a March 25 statement.
The companies announced the completion of the first integration and testing phase for Google Cloud Universal Ledger (GCUL), a permissioned blockchain infrastructure developed specifically for institutional finance.
The pilot evaluates how GCUL can facilitate efficient, secure digital transfers across various use cases, including collateral management, margining, settlement, and fee payments.
CME Group Chairman and CEO Terry Duffy said the effort aligns with recent federal calls for legislative clarity in financial market structure and reflects the exchange’s broader strategy to modernize core infrastructure.
He added:
“As the President and new Administration have encouraged Congress to create landmark legislation for common-sense market structure, we are pleased to partner with Google Cloud to enable innovative solutions for low-cost, digital transfer of value.”
The announcement also highlighted that the Universal Ledger architecture could support 24/7 financial operations, a growing demand as digital markets evolve beyond traditional settlement hours.
CME and Google Cloud will begin directly testing the platform with market participants later this year with a goal of launching tokenization-related services in 2026. No details were disclosed on the nature of the tokens or the specific assets targeted in the pilot.
Solution for institutions
Google Cloud’s Universal Ledger platform is a programmable distributed ledger with private and permissioned access intended to integrate seamlessly with traditional financial institution workflows.
The company argued that the ledger simplifies account and asset management while enabling programmable transfers between participants on a secure, enterprise-grade network.
Rohit Bhat, General Manager for Financial Services at Google Cloud, described the collaboration as part of a broader mission to provide infrastructure that addresses operational complexity in capital markets.
He further commented:
“Partnering with CME Group to innovate with GCUL exemplifies this commitment, demonstrating how Google Cloud helps partners transform their businesses through strategic collaborations and modern infrastructure.”
Mentioned in this article
