UK Financial Regulator Reviews Exemption for Tokenized Gold Products from Fund Regulations

The UK Financial Conduct Authority (FCA) is reviewing the possibility of excluding specific tokenized gold products from regulation under collective investment schemes (CIS) and alternative investment funds (AIF), according to the Financial Times (FT). Current ambiguity around whether these regulations apply to tokenized gold has led industry voices to warn that regulatory uncertainty could block some investors' access to such products. The FCA is discussing with the Treasury and Bank of England whether to exempt certain tokenized gold products from existing rules or establish a separate regulatory framework for tokenized gold and commodities, though no specific plans have been finalized yet.