PRECIOUS METALS | Tokenized Gold May Be Exempt From U.K. Fund Rules

According to the Financial Times, the U.K. Financial Conduct Authority will announce reform proposals on Monday that could exempt tokenized gold from U.K. fund regulations. The FCA said it is considering, together with the U.K. Treasury and the Bank of England, setting up a regulatory regime specifically for tokenized gold and, more broadly, tokenized commodities. The FCA said it may work with the Treasury to assess and possibly introduce a targeted exemption for some tokenized gold products or gold market infrastructure, so they would not fall under the regulatory boundaries for collective investment schemes and alternative investment funds. FCA officials said no final decision has been made. Jon Relleen, the FCA's head of infrastructure and exchanges, said regulators want to determine whether the current regulatory framework is still suitable for the gold market.