Global Banks Launch GL1 Org to Standardize Financial Tokenization

Five major global financial institutions have announced the establishment of the Global Layer One Organisation (GL1 Org), a Singapore-based non-profit entity dedicated to the advancement of tokenized financial market infrastructure. The founding members include HSBC, J.P. Morgan’s Kinexys, Mitsubishi UFJ Financial Group (MUFG), Societe Generale-FORGE, and Standard Chartered. This initiative marks a strategic transition from a government-led exploratory phase to an industry-driven effort to unify digital asset frameworks across global jurisdictions.

Transitioning to Industry-Led Standards

The formation of GL1 Org, officially announced on November 4, 2026, represents the evolution of the original Global Layer One initiative spearheaded by the Monetary Authority of Singapore (MAS). While the earlier phase focused on exploring shared ledger infrastructure, the new organization aims to commercialize and scale these technologies. By developing common standards, the group seeks to ensure interoperability between various blockchain networks and traditional financial systems, reducing fragmentation in the rapidly growing digital asset sector.

• GL1 Market Infrastructure (MI) Toolkit: A set of controls designed to assess the suitability of digital ledgers for institutional use.
• GL1 Programmable Compliance (PC) Toolkit: A framework for embedding regulatory requirements directly into smart contracts.
• Cross-Border Connectivity: Protocols to facilitate the seamless movement of tokenized assets across different legal jurisdictions.

Institutional Momentum in Digital Finance

The establishment of GL1 Org highlights the increasing commitment of traditional finance (TradFi) to blockchain technology and distributed ledger infrastructure. By moving toward a "Compliance by Design" approach, these institutions aim to integrate digital money and tokenized instruments—such as bonds and funds—into a regulated, global ecosystem. The organization has signaled that it is open to further participation from other financial institutions, fintech firms, and policymakers to foster a broader collaborative environment.

The establishment of GL1 Org marks an important step in bringing together financial institutions, infrastructure providers and policymakers to develop common standards and frameworks for tokenised financial markets.

In conclusion, the launch of GL1 Org serves as a pivotal moment for the institutional adoption of tokenization. By moving beyond isolated pilots into a coordinated, industry-led structure, these global banks are laying the groundwork for a more efficient and interconnected global financial system. The focus on standardized toolkits for compliance and infrastructure suggests that the next phase of digital finance will prioritize regulatory alignment and cross-platform compatibility.