The Reserve Bank of Australia has concluded its Project Acacia research, stating that tokenization’s role in the financial system is now inevitable. The central bank, now coordinating with other regulators, will establish a long-term sandbox to test tokenized assets and settlement systems. Industry participants say this regulatory coordination is crucial for unlocking institutional investment, with the RBA estimating potential economic benefits of $16.6 billion annually for Australia.
The Reserve Bank of Australia (RBA) is advancing plans to develop the legal and market infrastructure for tokenized asset markets. In a recent speech, Assistant Governor Brad Jones stated the question is no longer if tokenization has a future, but how it will be implemented following the Project Acacia research program.
The RBA will work with regulators and industry on a new digital market infrastructure sandbox. This longer-term environment is designed to support the commercialization of tokenized assets, money, and settlement systems.
The central bank is coordinating with agencies including ASIC and AUSTRAC on the legal framework. This work addresses how tokenized assets are classified, how settlement finality works, and how new platforms would be licensed.
Industry participants say this regulatory coordination is the key step needed to move tokenized assets from pilots into real markets. “Project Acacia represents a turning point,” said BTC Markets Chief Commercial Officer Paul Stonham, a member of the project’s advisory group.
“The RBA’s decision to move from exploratory pilots to a longer-term, stage-gated sandbox environment signals genuine institutional commitment to making tokenized finance work in Australia, not just studying it,” Stonham said. He added that regulated digital asset exchanges are likely to play a central role in the future tokenized markets.
The RBA estimates the economic benefit to Australia could reach about $16.6 billion per year. Further work will focus on settlement infrastructure, tokenized bank deposits, stablecoins, and the potential role of a wholesale central bank digital currency.
