UK Government Launches Sandbox to Test Tokenization as CBDC Looms

The UK Treasury has proposed a sandbox to test exchanges of tokenized assets that could “transform” financial markets and existing securities regulations. His Majesty’s Treasury’s new test bed will tailor transactional limits based on volumes, activities, and sandbox performance. No Cryptocurrencies Included in Asset Transfer Sandbox Despite the recent passage of the Financial Services and Markets Bill, the Digital Securities Sandbox will not support crypto assets. Rather, it will harness the bill’s approval of regulatory sandboxes that build on projects the Bank of England completed with the Bank for International Settlements. The BoE recently ran pilots to test a real-time