CTF Written Submission

Demystifying Tokenisation: Embracing the Future

March 18, 2025
  • Tokenised traditional assets are acknowledged in some jurisdictions to offer the same ownership rights as their traditional counterparts and are regulated accordingly.
  • The Basel Committee on Banking Standards (BCBS) has proposed harsh capital treatments for all tokenised assets due to the evolving nature and unforeseen risks of distributed ledger technology (DLT).
  • Tokenisation requires substantial upfront investment from all market participants without clear gains in highly efficient markets like equity.
     

Last Reviewed or Updated: April 3, 2025