The Wall Street Journal reports that the UK's Financial Conduct Authority (FCA) has signed new regulations allowing UK funds to remain registered on the blockchain and introducing a new direct fund-to-fund (D2F) trading model, aimed at simplifying the management of existing tokenized funds. The FCA stated that tokenization and distributed ledger technology (DLT) will improve fund management efficiency and hopes to support innovation in the UK asset management industry. The new regulations provide a clearer pathway for companies to integrate blockchain into regulated fund operations, while also reflecting broader efforts to incorporate tokenized finance into the regulatory framework. The FCA also stated that tokenization will play an important role in asset management and has provided a practical framework to enhance companies' confidence in the operation of tokenized funds.

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