FCA Examines Tokenized Gold as Potential Wholesale Collateral

The UK's Financial Conduct Authority (FCA) is exploring the potential for tokenized gold to be used as collateral in wholesale markets, including its use in uncleared over-the-counter derivatives. The FCA published a call for input on September 14, 2026, seeking industry views on how tokenized gold could operate within existing financial-market infrastructure.

The FCA's interest in tokenized gold builds on work already underway with the Bank of England, which has also been examining collateral treatment more broadly. The regulator is considering whether existing rules are sufficient or need clarification to ensure that financial institutions understand the rights attached to tokens and how they can be used as collateral.

The FCA's call for input does not constitute approval of any tokenized gold product, and the regulator still needs to determine how tokenized gold should fit within the UK's wholesale regulatory framework. Any move toward collateral use would also need to address the legal rights attached to the token and the risks introduced by the tokenization structure.