On April 10, 2025, Resolution No. 1060 (the “Resolution”) of the National Securities Commission (“CNV”, after its spanish acronym) was published in the “Boletin Oficial” (government gazette), announcing the launch of a public consultation aimed at incorporating a Tokenization Regime into its regulatory framework. This initiative is intended to establish the legal basis for the digital representation of tradable securities.
This proposal introduces specific rules for the use of distributed ledger technologies (“DLT”), incorporating digital representation as an equivalent form to traditional formats.
The Resolution recognizes digital representation as a specific modality within the concept of “Tokenization,” ensuring key properties such as security, traceability, immutability, fungibility, and verifiability in all operations carried out.
The following financial instruments can be partially or fully tokenized:
– Shares (including dual-listed ones)
– Negotiable obligations
– Units of closed-end mutual funds
– Debt securities and participation certificates of publicly offered financial trusts
– CEDEARs (Argentine depositary receipts)
Tokenization will be carried out by an entity specialized in DLT, which may or may not be registered as a Virtual Asset Service Provider (VASP).
Digital representations may be traded on platforms and/or mobile apps of VASPs authorized by the CNV. Each issuance must be backed by a specific document, and the underlying securities must be issued in traditional format and deposited with a Central Securities Depository (ADSVN, after its spanish acronym) under the name of the registered holder. Holders may request at any time that their token be replaced by a traditional representation.
This new regime will be tested for one year under a controlled regulatory environment. Issuances made during this period will remain valid after its conclusion, although no new issuances will be allowed beyond the twelve-month period. Authorizations that are not tokenized within two years will lose their validity under the regime.
