U.S. and UK align tokenization rules for cross-border digital assets
In brief
- U.S. and UK Treasury released joint roadmap Tuesday to ease tokenized asset movement
- Ten recommendations focus on reducing regulatory friction for securities, stablecoins, and digital assets
- Regulators plan industry-led working group and common settlement approaches for tokenized securities
- Joint statement backs cross-border stablecoin activity and traditional finance cooperation
10 Recommendations for Tokenized Markets
The report sets out 10 recommendations covering digital assets and traditional capital markets. The recommendations do not introduce new rules. Instead, they identify areas where regulators plan to work more closely together. Key proposals include coordinating regulation of tokenized securities and supporting development of cross-border stablecoins.
Both governments also issued a joint statement backing cross-border stablecoin activity. The joint approach signals alignment on how the world's two largest financial centers will treat digital assets moving forward.
Industry Testing and Regulatory Coordination
Governments propose creating an industry-led working group to test cross-border tokenization projects. Regulators including the SEC, CFTC, FCA and Bank of England plan to explore common approaches to settling tokenized securities.
The roadmap also calls for closer cooperation on traditional finance. The SEC and FCA will explore ways to make cross-border capital raising easier for companies operating in both jurisdictions. This reflects a broader effort to strengthen ties between the two financial systems while maintaining each regulator's authority over domestic markets.
"Treasury Secretary Scott Bessent said the recommendations reflect the strength of the U.S. and U.K. financial markets and their shared commitment to supporting economic growth, innovation and competition."
The move comes as tokenized assets gain traction globally. By aligning their regulatory approaches, the U.S. and UK aim to prevent fragmentation that could hinder innovation while keeping both markets competitive.
