ADGM Fiat-Referenced Token (FRT) Framework Working Paper
The introduction of ADGM’s Fiat-Referenced Token (FRT) framework marks an important development in the region’s digital asset landscape.
While much of the discussion focuses on regulatory compliance, firms must also consider the operational implications of the framework, including safeguarding, reconciliation, reporting, and governance requirements.
This working paper examines these considerations and highlights key areas firms should be evaluating as they prepare for implementation.
Key Highlights
- Key changes introduced under the FRT framework
- Operational implications for regulated firms
- Safeguarding and reconciliation requirements
- Practical implementation considerations
Who Should Read This?
- Asset Managers
- Family Offices
- FRT Issuers
- Digital Asset Service Providers
- Tokenized Fund Structures
- Firms Operating Within ADGM
Inside This Working Paper
Explore the key operational, regulatory, and implementation considerations introduced under ADGM’s Fiat-Referenced Token (FRT) framework.
Overview of ADGM’s Updated FRT Framework
Gain an understanding of the key changes introduced under ADGM’s Fiat-Referenced Token framework, including its objectives, scope, and regulatory structure.
Accepted FRTs & Regulatory Expectations
Explore the criteria for accepted Fiat-Referenced Tokens and the regulatory expectations placed on firms operating within the framework.
Safeguarding & Client Asset Considerations
Review safeguarding requirements designed to protect client assets and strengthen operational controls within digital asset structures.
Reconciliation & Reporting Requirements
Examine reconciliation processes, reporting obligations, and the operational oversight required to support ongoing compliance.
Governance & Operational Readiness
Assess governance expectations and the operational capabilities firms should have in place to support implementation and ongoing management.
Practical Implementation Considerations
Understand the practical challenges, considerations, and operational impacts firms may encounter when adapting to the new framework.
