CFTC Updates Tokenized Asset Guidance Amid Failing Crypto Regulation Efforts

The US Commodity Futures Trading Commission (CFTC) has updated its guidance on tokenized assets and blockchain recordkeeping.

In a Thursday notice, the CFTC said it had updated information under its frequently asked questions on registered crypto-related entities.

The new guidance clarifies that authorized companies can invest customer funds in tokenized forms, as long as 'the tokenized form of the asset grants the holder legal and economic rights that are the same or functionally equivalent to the rights received by holders of the asset in its traditional form.'

CFTC Chair Michael Selig said the changes were part of efforts 'to provide regulatory clarity for the crypto industry.'