Varun Paul

The objective of this roundtable is to bring together regulators, financial institutions, and technology leaders, to advance industry thinking on the use of permissionless blockchain in financial services.

Key outcomes of this roundtable:

1. To identify why permissionless blockchains have not made significant inroads with industry incumbents, exploring whether the hurdles are primarily commercial, regulatory, reputational, or a lack of expertise
2. To explore how financial services can be provided on transparent, permissionless and immutable blockchain while advancing the goal of consumer protection
3. To assess the challenge posed by the fragmented landscape of blockchain infrastructure and brainstorm potential solutions to enable greater interoperability

Traditional AML/CFT frameworks for cross-border payments were built around correspondent banking, a model that relies on centralised oversight and intermediary controls. However, the rise of payment tokens on blockchain introduces greater transparency, real-time traceability, and enhanced enforcement capabilities—enabling regulators and financial institutions to detect, monitor, and act on illicit activity more efficiently than ever before. 

As the global financial system undergoes a paradigm shift toward tokenized payments, it is crucial to re-examine payment control mechanisms in this new landscape. This roundtable will convene leading regulators, financial institutions, and blockchain experts to explore: 

1.  How blockchain-based payment tokens enhance monitoring, detection, and enforcement – Are decentralized networks more transparent than traditional banking rails? What are the limitations? 
2. Redesigning payment controls for a tokenized world – Should AML/CFT rules evolve to account for programmability, smart contracts, and decentralised compliance models? 
3. Moving forward: Bridging regulatory principles with tokenized payments – How can policymakers, financial institutions, and blockchain innovators collaborate to ensure payment security without compromising efficiency? 

This panel will explore the scaling of tokenized markets, focusing on the key challenges and opportunities involved in creating and evolving secondary markets for tokenized assets. Panelists will discuss the infrastructure, regulatory frameworks, and technological advancements needed to enable the smooth scaling of tokenized markets, along with the role that secondary markets play in providing liquidity, transparency, and investor confidence.

Key topics will include:

• The Scaling of Tokenized Asset Markets: Panelists will discuss the technological, operational, and regulatory challenges in scaling tokenized markets, from blockchain scalability to cross-chain interoperability and institutional adoption.
• Building Liquidity in Secondary Markets: Panelists will explore the role of market makers, exchanges, and liquidity protocols in attracting investors and enhancing the liquidity of tokenized assets.
• Regulatory Considerations for Scaling Tokenized Markets: Panelists will discuss the evolving regulatory environment and the challenges and opportunities of creating a global regulatory framework for tokenized assets.
• Globalization of Tokenized Secondary Markets: Panelists will explore the opportunities and challenges of global adoption, including cross-border trading and international regulatory coordination.