FCA to ramp up tokenisation testing
The Financial Conduct Authority is preparing to step up its work on tokenised finance, outlining plans for more structured testing of tokenised fund and payments models as UK Fintech Week turns attention to digital‑asset innovation.
In its Innovation Insights report, the regulator says demand from digital‑asset and tokenisation firms remains one of the strongest areas of engagement across its innovation services. Payments and digital‑assets companies accounted for more than a third of Innovation Pathways applications in 2025, with wholesale‑market propositions increasingly focused on tokenised assets, on‑chain settlement and digital custody.
The FCA plans to introduce cohort‑based testing, starting with stablecoin‑based models, and says it will “encourage more fund tokenisation propositions” as part of its 2026–27 programme. While broadly supportive, the regulator notes that many firms still struggle to demonstrate clear consumer benefit or robust testing plans — a gap it aims to close through more structured engagement.