The British regulator has authorised ClearToken to launch CT Settle, its delivery-versus-payment (DvP) settlement platform. This decision, issued on 11 November 2025, allows the company to operate as an Authorized Payment Institution and as a registered cryptoasset firm, altering the post-trade architecture that affects custodians, institutional exchanges and liquidity providers.
CT Settle operates as a DvP system that eliminates Herstatt risk (the counterparty risk between delivery and payment), operating similarly to CLS in the foreign exchange market. The authorisation reduces counterparty risk and can free up capital currently locked in prefunded accounts, which is particularly appealing to custodians, trading desks and institutional investors.
Benjamin Santos-Stephens, CEO of ClearToken, said that “this authorisation provides a clear and realistic roadmap to grow the digital asset economy”. The platform facilitates settlement and clearing services for cryptoassets, stablecoins and fiat currency under the Payment Services Regulations 2017 and the Money Laundering Regulations 2017.
Future outlook and regulatory context
This authorisation represents only the first phase of the company’s plan, which includes applying for recognition by the Bank of England as a clearing house and moving towards the establishment of a central counterparty (CCP) to expand its services to tokenised assets.
The decision is set within a broader regulatory context in the United Kingdom, where the regulator has adapted existing rules and introduced requirements such as the Travel Rule and restrictions on financial promotions. Since October 2025, it has also allowed the limited reintroduction of cryptocurrency ETNs for retail investors under strict conditions.
The next verifiable milestone will be obtaining recognition by the Bank of England as a clearing house and the development of a CCP, steps that will be decisive in assessing the real extent of institutional adoption in the British market.
