OECD.
The OECD's 2024 guidance on tokenisation represents the most comprehensive policy framework for how real-world assets should be tokenized, governed, and traded across borders. It addresses the full lifecycle, from asset origination and legal structuring through tokenization, trading, and settlement, with particular focus on investor protection and regulatory clarity.
For AfriVest, OECD alignment is critical because we tokenize real-world African assets, cotton production debentures, mineral rights, land leases, and cooperative equity, for global investors. The OECD framework ensures these instruments meet the disclosure, governance, and protection standards that institutional investors require before allocating capital to African digital assets.
How OECD Tokenization Governance Works
A structured, standards-based flow, designed to align with OECD at every step.
Legal Structuring
The OECD requires clear legal frameworks establishing that token holders have enforceable rights to underlying assets, addressing the 'legal finality' question that has plagued tokenization.
Disclosure Framework
Tokenized instruments must provide disclosure equivalent to traditional securities, offering documents, ongoing reporting, material event notifications, and audited financials.
Technology Governance
The underlying DLT must meet governance standards, including upgrade mechanisms, validator selection, consensus security, and smart contract audit requirements.
Market Structure
Secondary markets for tokenized assets must implement price transparency, best execution obligations, and market surveillance, preventing the opacity that characterized early crypto markets.
Cross-Border Recognition
The OECD promotes cross-border recognition of tokenized instruments, enabling assets tokenized in one jurisdiction to be traded and settled in another without re-registration.
The core tenets of the standard.
The principles that define OECD, and how AfriVest is designed to align with them.
Legal Certainty
Token holders must have clear, enforceable legal rights to underlying assets, with established frameworks for dispute resolution, insolvency treatment, and cross-border recognition.
Investor Protection
Comprehensive disclosure, suitability assessments, and risk warnings, ensuring investors understand the unique risks of tokenized instruments alongside their benefits.
Technology Governance
DLT infrastructure must meet minimum standards for security, scalability, and governance, including smart contract audits, upgrade mechanisms, and validator accountability.
Regulatory Proportionality
Regulation should be proportionate to risk, enabling innovation in low-risk tokenization while applying full securities regulation to high-risk instruments.
Interoperability Standards
Tokenized assets should be transferable across platforms and jurisdictions, using common standards for token formats, metadata, and settlement protocols.
Sustainable Innovation
Tokenization frameworks should promote financial inclusion and market efficiency while managing risks, enabling developing economies to leapfrog traditional infrastructure.
OECD Tokenization Governance Architecture
How AfriVest ensures tokenized assets meet OECD governance standards
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Infrastructure aligned with this standard.
AfriVest solution layers designed to align with OECD.
Explore the full compliance framework.
AfriVest is designed to align with a broad set of international standards. Explore the others across the framework.