KPMG Caucasus and Central Asia has prepared an analytical overview "Digital Financial Assets - Legislation, Law Enforcement, Business Cases", which presents the current status. Therein, KPMG experts compared the development of the digital asset (or tokenisation) (or tokenisation) industry in Central Asia and the Caucasus, as well as reconstructed a chronology of how the regulation of digital financial assets has evolved globally.
As the overview indicates, the Central Asian and Caucasus markets are increasingly talking about the use of digital financial assets (DFAs, virtual assets) as an alternative form of fundraising. Notwithstanding its common base and similar characteristics (e.g., use of blockchain), the DFA is neither a cryptocurrency nor a central bank digital currency. A DFA is, first and foremost, an instrument that certifies a claim to an asset:, from cash to precious metals or real estate.
According to KPMG Caucasus and Central Asia experts, the key advantages of using DFAs include: speed of transaction; the ability to use a previously written smart contract for subsequent transactions; the ability to use DFAs for futures transactions; the ability to issue DCFAs for any asset; fewer intermediaries between the issuer and the investor during the issuance; and more favourable transaction terms for investors.
You can learn more about the overview by downloading file below.
