'UK Has the Opportunity To Be a Tokenization World-Leader', FCA Markets Chief Simon Walls Declares

Core Insights - The U.K. aims to become a global leader in tokenization, working to catch up with the EU in digital finance regulations [1][4] - The Financial Conduct Authority (FCA) has introduced guidelines to facilitate the adoption of tokenization in the £14 trillion asset management sector [2][6] - Tokenization is expected to enhance efficiency in fund management, reduce costs, and broaden access to private markets [3][4] Regulatory Developments - The FCA's guidelines include a "Blueprint" model for operating tokenized fund registers and a roadmap to overcome barriers like public blockchain usage [2][3] - The U.K. is responding to the EU's Markets in Crypto-Assets (MiCA) framework, which provides clearer rules for digital assets [4][5] - Simon Walls, FCA's Executive Director of Markets, emphasizes the transformative potential of tokenization for asset management [4][6] Global Context - There is a pressing need for global regulatory harmony to support asset managers in issuing tokenized products [5][6] - Experts warn that regulatory progress should not overburden innovators, advocating for a balanced approach to compliance [7]