QFC Report Demands Urgent Global Standards for Crypto Tokenization

Regulators scramble to catch up with the $2.3T tokenized asset market as the Qatar Financial Centre drops a regulatory bombshell.

The Wild West Gets a Sheriff

The QFC's 84-page manifesto exposes gaping holes in cross-border oversight—while TradFi dinosaurs still can't agree if blockchain is 'a phase.'

Blood in the Water

Three key jurisdictions already signaling compliance (hint: none are the US), as DeFi protocols quietly double real-world asset collateralization since January.

The Fine Print

Proposal includes controversial 'travel rule' extensions for NFTs and—wait for it—mandatory stress tests for stablecoin issuers (looking at you, Tether).

One banking lobbyist muttered 'innovation-stifling overreach' before charging $300/hr to explain it to clients.

Qatar Digital Asset strategy will include stablecoins

Representing the QFC, Hoogendoorn outlined Qatar’s strategic approach to digital asset development, reiterating Qatar’s position on cryptocurrency restrictions. He noted that the official policy is that “Crypto is a no-go for now” as previously stated by QFC CEO” during Qatar Economic Forum this year.

However he mentioned there will be selective cryptocurrency adoption anticipated, likely beginning with stablecoins. In terms of regulatory coordination Hoogendoom explained that this WOULD be a joint initiative with Qatar Central Risk Authority and the Central Bank of Qatar.

For Qatar when it comes to tokenization their strategy is to incorporate it into the investment sector in areas such as private equity, sharia compliant digital asset mechanisms, Murabaha structure automation, which would allow for secondary market liquidity through token trading.

The strategy also seeks to help venture capital with early exit opportunities for investors.

Companies in the blockchain sphere have participated in Qatar’s Digital Asset Labs, including R3, SettleMint, and The Hashgraph Association.

The Hashgraph Association had announced in 2024 that within the next 12 months they are exploring five innovative use cases, in the areas of equity tokenization, Sukuk Islamic Bonds tokenization, real estate tokenization, sustainability ESG Carbon credits, as well as consumer engagement and loyalty programs.

This is part of the partnership that was signed with QFC for a $50 million Digital Assets Venture Studio to develop the Web3 and DLT innovation ecosystem in Qatar.

Recently, for example, the Qatar National Bank ( Singapore Branch) and DMZ Finance, a blockchain financial technology company also headquartered in Singapore, received the first MENA-regulated tokenized money market fund from the Dubai Financial Services Authority. QNB, the largest financial institution in the Middle East and Africa, will serve as the fund’s lead originator and investment manager. DMZ Finance, acting as co-originator, provides the exclusive tokenization infrastructure powering the fund.

RWAs are increasingly recognized as a critical bridge between traditional finance (TradFi) and decentralized finance (DeFi). According to a recent report by Ripple and BCG, the market for tokenized RWAs is projected to grow to USD18.9 trillion by 2033 under a midpoint scenario.

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