Asset Tokenization Draws Focus From Global Securities Watchdogs
The International Organization of Securities Commissions (IOSCO) plans to focus on tokenization in its strategy for the year. This will build on the existing principles and guidance for crypto developed by the IOSCO FinTech Task Force. The focus will be on tokenization use cases specific to the securities market and distributed ledger technology. The aim is to develop a shared understanding among IOSCO members on the adoption and current use-cases of asset tokenization in the securities markets. This comes as regulators and financial institutions increasingly adopt tokenization, the digitization of real-world assets. IOSCO also plans to explore challenges presented by artificial intelligence. It intends to develop an assessment methodology by the second half of the year and update its 2020 report on investor education concerning crypto assets for retail investors.
