The UK's FCA has launched a regulatory consultation on tokenized wholesale markets.

CoinFeed reported on May 18th that, according to The Block, the UK Financial Conduct Authority (FCA) and the Bank of England (BoE) have jointly launched a consultation on the tokenized wholesale financial market, focusing on prudential regulation of tokenized securities, collateral, and settlement infrastructure arrangements. This consultation is open to banks, brokerages, asset management firms, trading and clearing infrastructure providers, and fintech companies offering tokenization solutions, currently focusing on tokenized securities such as bonds, stocks, and fund units. Market participants must submit feedback by July 3rd. The FCA and BoE plan to release feedback documents this summer and launch a cross-institutional roadmap for the digital wholesale market within the year. The Digital Securities Sandbox, being developed in parallel by the two institutions, currently has 16 companies in the testing phase.