UK Regulator Introduces Tokenised Funds to Engage Young Investors

Reported 18 days ago

The UK's financial regulator is promoting 'tokenisation' of funds on public blockchains like Ethereum to attract younger investors. This initiative will allow asset managers to issue crypto tokens that represent fund shares, enhancing efficiency and lowering management costs. While this move aims to boost the competitiveness of the UK's asset management sector, it also raises concerns regarding consumer protection and market stability. The regulator is seeking feedback on the use of stablecoins for fund settlements and considering future regulations for direct cryptocurrency investments.

Source: YAHOO

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