CME Group, a US-based derivatives marketplace, and Google Cloud have partnered to pilot solutions for secure wholesale payments and asset tokenization using Google Cloud Universal Ledger (GCUL).
CME Group has already completed the initial integration and testing phase of GCUL, according to the companies’ March 25 press release.
CME Group Will Introduce Tokenization Technology to Enhance Capital Market Efficiency Using Google Cloud's New Universal Ledger https://t.co/TuHxQKSjc5
— CME Group (@CMEGroup) March 25, 2025
Driving Efficiency for 24/7 Trading
CME Group and Google Cloud are collaborating to enhance the efficiency of collateral, margin, settlement, and fee payments, aligning with the industry’s transition to 24/7 global trading.
Terry Duffy, CME Group Chairman and CEO, stated, “We are pleased to partner with Google Cloud to enable innovative solutions for low-cost, digital transfer of value.”
This partnership leverages Google Cloud’s Universal Ledger (GCUL), a programmable distributed ledger designed to integrate with traditional financial institutions. GCUL simplifies account and asset management within a secure, private, and permissioned network.
Rohit Bhat, General Manager, Financial Services at Google Cloud, emphasized the company’s commitment to providing advanced infrastructure that “enables partners to accelerate innovation and drive efficiencies.”
Bhat also highlighted tokenization as a significant opportunity to streamline complex financial systems.
The growing recognition of tokenization’s potential is evident in market projections. The on-chain tokenization market, currently valued at $19.5 billion globally, with a 20% increase in the last 30 days, is expected to reach $276 billion by 2034. This underscores the industry-wide belief that tokenization is a key trend for the next decade.
CME Group and Google Cloud plan to commence testing their tokenization technology with market participants in 2026.
However, the announcement did not specify which assets will be tokenized during these tests.
Google Cloud Expands Its Presence in the Blockchain Space
Google Cloud’s involvement in blockchain technology has grown significantly in recent years.
Beginning in 2018 with the integration of Bitcoin blockchain data into its data warehouse, the company has steadily expanded its blockchain infrastructure services.
In 2023, Google Cloud further broadened its scope by adding data from 11 blockchains, including Ethereum, Arbitrum, Avalanche, and Optimism, to its data warehouse.
Most recently, in September 2024, Google Cloud launched its Blockchain Remote Procedure Call (RPC) service. This initiative aims to streamline access to blockchain data, enhancing the reliability and speed of decentralized applications (DApps). Ethereum will be the first to use this new service.
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