UK Regulators Explore Bespoke Framework for Tokenized Gold Markets
The UK's Financial Conduct Authority (FCA) is exploring a bespoke regulatory framework for tokenized gold markets, aiming to support London's role in bullion trading and custody. The FCA plans to work with the Treasury and the Bank of England to examine whether some products could operate outside existing fund rules, potentially expanding their market use.
The review comes as industry groups have raised concerns about uncertainty over whether tokenized gold products fall under collective investment scheme or alternative investment fund rules.
Jon Relleen, FCA director of infrastructure and exchanges, noted that tokenized gold has become a topic in industry talks. The regulator wants to test whether current UK rules remain suitable for gold trading and related market systems.