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Brazil’s CVM creates tokenization task force with 60-day deadline
The CVM said the proposed experimental framework will address ownership records, private-key custody, transaction reversibility, and liability for system failures.
Brazil’s securities regulator, the Comissão de Valores Mobiliários (CVM), has formed a working group to draft an experimental framework for tokenized securities, with a primary proposal due within 60 days of the group being formally installed, according to CoinDesk.
The CVM said the framework will cover registration, custody, trading, and settlement for tokenized securities using distributed ledger technology. It also outlined a broader review window of 120 days, with a possible 30-day extension.
The working group includes 14 CVM departments and may consult government agencies, market associations, self-regulatory bodies, and outside specialists. The regulator said the effort will review cybersecurity risks, international regulatory models, and results from earlier sandbox programs.
CVM said blockchain use does not change whether an asset qualifies as a security under existing rules, reflecting guidance it issued in 2022. CoinDesk reported that Brazil’s real-world asset market is now around 12 billion reais, about $2.34 billion, and that debentures and commercial notes account for roughly $1.3 billion of that total.