Tokenisation is moving out of pilot phase. A critical element for the UK to claim its position as a global digital hub is not just technical interoperability and the introduction of appropriate regulatory frameworks, but international co-operation to minimise legal and regulatory frictions. 

The Transatlantic Taskforce for Markets of the Future was established by the UK and US in September 2025 (‘US–UK TATF’) with the purpose of turning a shared ambition on digital assets and capital markets into closer regulatory alignment, stronger cross-border connectivity and reduced market fragmentation. Its remit was not simply to create another forum for dialogue, but to identify targeted steps that would enable innovation and make it easier for firms and markets to operate across the Atlantic.

On 14 July 2026, the US Treasury and HM Treasury jointly published the Taskforce's recommendations including: 1. Establishing a one-year, private sector led, UK-US group to test cross-border uses of tokenised assets, to share best practice and to consider regulatory and technical standards; 2. Seeking common regulatory approaches to tokenised asset regulation such as settlement finality and the use of stablecoins or tokenised money-market funds as collateral; 3. A joint statement on stablecoin alignment; 4 Exploring ways to reduce regulatory friction and provide greater clarity for businesses raising capital across UK and US markets.

The joint US/UK statement on stablecoins immediately followed the recommendations, committing both governments to enabling stablecoins in cross-border finance, supporting their safe growth in payments, settlement and capital markets, and promoting appropriate convergence between the two regulatory regimes. 

The same intent on cross border regulatory alignment is visible in the FCA and Bank of England’s September 2026 Feedback Statement on tokenisation in the UK wholesale markets.  Alongside technical interoperability, market respondents identified legal and regulatory interoperability as critical for avoiding liquidity fragmentation. The FCA’s tokenisation Roadmap is expected later this year, however in its Feedback Statement response, the FCA acknowledged the importance of cross-jurisdictional interoperability and confirmed their continuing international engagement, including through the US-UK TATF. 

The US-UK TATF represents an important opportunity to strengthen cooperation and support a more coherent approach to the development and oversight of digital assets. Continued dialogue will be essential to address emerging risks, reduce unnecessary divergence and promote responsible innovation while maintaining market integrity and appropriate protections.

For more information please contact a member of Edwin Coe's Digital Assets & Technology team.