UK’s FCA weighs bespoke framework and fund exemptions for tokenized gold - CoinDesk

The UK Financial Conduct Authority is considering a bespoke regulatory framework for tokenized gold, alongside potential exemptions for funds that hold the asset, according to CoinDesk. Tokenized gold refers to digital tokens backed by physical bullion, designed to let investors gain exposure to gold with the transferability of a blockchain-based instrument.

The development matters because regulatory clarity has been a persistent hurdle for tokenized real-world assets. A tailored framework could clarify how such products are classified, supervised, and sold to UK investors, while fund exemptions might affect how collective investment schemes treat tokenized gold holdings. For market participants, the direction of travel signals that UK regulators are engaging with the asset class rather than dismissing it outright.

What to watch: the scope of any bespoke rules, the conditions attached to fund exemptions, and whether the approach is extended to other tokenized commodities. The timeline remains uncertain, and no final policy has been confirmed. For now, the consultation stage itself is the signal — it suggests tokenized gold is being treated as a distinct category requiring its own regulatory thinking.