UK writes the tokenization rulebook as US industry pitches its own to the SEC

The Bank of England opened a consultation on allowing central counterparties, intermediaries that guarantee trades clear, to accept tokenized collateral, with responses due by February 12, 2027. It said the collateral must remain valuable, transferable and realizable under stress and be limited to highly liquid assets. On the same day, the U.S. Securities and Exchange Commission received a 238-page report from the Crypto Council for Innovation, whose members include Bitwise, Galaxy Digital and Morpho, arguing that vaults, smart contracts that take token deposits and lend or invest them, should be regulated according to how much control human operators retain. Vaults held at least $131 billion in assets as of April 2026, according to S&P Global Ratings.