UK regulators to develop tokenization roadmap after industry feedback
The FCA received 123 responses to its wholesale tokenization consultation, with most respondents identifying post-trade processes as the main opportunity for adoption.
The UK's Financial Conduct Authority (FCA) is set to develop a tokenization roadmap following feedback from industry stakeholders, with a focus on post-trade processes for wholesale tokenization. The FCA received 123 responses to its consultation, with the majority of respondents highlighting the potential for tokenization to streamline post-trade processes, especially the movement of collateral between parties.
In addition to this, the FCA has launched a separate consultation on tokenized gold, aiming to explore the broader applications of distributed ledger technology across wholesale financial markets. The roadmap, expected to be published later this year, will set target dates for the UK's work on tokenization, signaling the country's commitment to embracing blockchain technology in the financial sector.
This move aligns with European efforts to expand the use of tokenized securities, as highlighted by a coalition of European financial firms urging EU lawmakers to adjust proposed limits on assets admitted to distributed ledger technology infrastructure.
Brief written by urgent.news from Cointelegraph's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
