Guidance for memorandum of law examining the validity and enforceability of collateral arrangements using the ISDA model provisions for tokenized collateral
The purpose of this guidance note is to inform how counsel may approach a legal opinion on the enforceability of collateral arrangements entered into under certain ISDA collateral documentation where the relevant collateral arrangement comprises tokenized securities and/or stablecoins (together, “Tokenized Collateral”).
This guidance note sets forth (i) a basic taxonomy of common tokenization structures and (ii) a non-exhaustive list of key issues to consider when analyzing the enforceability of collateral arrangements involving Tokenized Collateral.
This guidance note is intentionally high level and jurisdiction-agnostic. For that reason, the tokenization structures may not map directly into recognized existing legal categories in various jurisdictions. Nevertheless, they represent observed structures in the market and reflect important differences, including the key operational characteristics of each structure to the extent they are relevant to the transfer and settlement of Tokenized Collateral.
Documents (1) for ISDA Tokenized Collateral Guidance Note
Latest
ISDA Trading Forum Tokyo: CEO Remarks
ISDA Derivatives Trading Forum Tokyo October 17, 2025 Opening Remarks Scott O’Malia ISDA Chief Executive Officer Good afternoon, and welcome to the ISDA Derivatives Trading Forum. It’s great to be back in Tokyo, and I’d like to begin by...
Future of Asset Management in Japan: CEO Remarks
Future of Asset Management in Japan October 17, 2025 Welcoming Remarks Scott O’Malia ISDA Chief Executive Officer Good morning, and welcome to this ISDA event on the Future of Asset Management in Japan. We’re delighted to be holding this...
New Report on Japan's Asset Management Ambitions
ISDA and Crisil Coalition Greenwich shows that derivatives are expected to play a pivotal role in Japan’s ambition to become a global leader in asset management, but some barriers need to be reduced to enable the country’s asset managers to...
The Derivatives Market in Japan
A healthy derivatives market is an important element to Japan’s plan to become a global leader in asset management. Asset managers are eager to increase their use of derivatives to better take and manage risk, but note that there is...