Core Summary
The UK Financial Conduct Authority (FCA) released a consultation paper on September 13 proposing to exempt tokenized gold, tokenized precious metals and other real-world-asset tokens from fund-regulation rules under specific conditions, in a move to defend London’s position as a global hub for digital assets and tokenized real-world assets. The consultation paper recommends that tokenized real-world assets meeting specific conditions be classified as “tokenized real-world assets” rather than “collective investment schemes,” thereby bypassing certain fund-regulation requirements including custody arrangements, investor-suitability assessments and minimum governance standards. The proposal is expected to complete public consultation in Q4 2026 and formally land in H1 2027, and is the FCA’s latest move in continuing to push an “innovation-friendly” framework in digital-asset regulation.
Event Details
The UK Financial Conduct Authority (FCA) released a consultation paper titled “Tokenized Real-World Assets: Proposed Regulatory Framework Adjustments” on September 13. The paper proposes that tokenized gold, tokenized precious metals and other real-world-asset tokens be classified as “tokenized real-world assets” rather than “collective investment schemes,” provided they meet specific conditions including full backing by underlying physical assets, independent custody arrangements, transparent on-chain audit mechanisms and limited secondary-market liquidity arrangements, thereby bypassing certain fund-regulation requirements. The proposal is expected to complete public consultation in Q4 2026 and formally land in H1 2027. The FCA noted in the consultation paper that the move aims to defend London’s position as a global hub for digital assets and tokenized real-world assets, in response to competitive pressure from jurisdictions including Switzerland, Singapore and the UAE in the tokenized-asset regulation space.
Edited by: GoodInfo Global News Desk