Regulators in the US have issued a new guidance on the handling of tokenized securities, stating that they should be treated similarly to traditional securities for capital purposes. This move aims to provide clarity and confidence to banks, allowing them to participate more fully in the market.
The clarification comes from the Federal Reserve, FDIC, and Office of the Comptroller of the Currency, which have collectively stated that tokenized securities should not be subject to additional capital requirements simply because they are issued on a blockchain. This means that banks can handle these assets without having to hold extra reserves, which could help unlock wider adoption.