Global regulators: how G20 and FSB efforts align global crypto standards

Explore how the G20 and FSB are shaping unified crypto regulations, what it means for investors today, and how platforms like Eden RWA fit into this evolving landscape.

G20 and FSB initiatives aim to create a single set of global crypto standards.
The push is driven by rising institutional demand and regulatory uncertainty.
Understanding these developments helps investors navigate compliance risks and opportunities.

Global regulators: how G20 and FSB efforts align global crypto standards has become a headline theme in 2025 as the world’s largest economies and finance bodies converge on crypto oversight. The rapid growth of digital assets, coupled with high-profile hacks and market volatility, has spurred governments to seek coordinated frameworks that balance innovation with consumer protection.

The core question is simple: can we achieve a coherent global standard without stifling decentralised innovation? For the retail investor, the answer will shape everything from which tokens you hold to how your yields are taxed. In this article we break down the G20 and FSB roadmaps, examine their alignment with existing regulations like MiCA and the SEC’s evolving stance, and illustrate how real‑world asset (RWA) platforms such as Eden RWA adapt to these changes.

We’ll walk through the background of global crypto regulation, explain the mechanics of the G20/FSB proposals, assess market impact, outline risks and challenges, and project scenarios for the next 12–24 months. By the end you should understand how these efforts could affect your investment strategy and why platforms that tokenise tangible assets are positioned to thrive.

Background: Why a unified global crypto standard matters

The concept of a “global crypto standard” refers to harmonised rules for anti‑money laundering (AML), know‑your‑customer (KYC), consumer protection, and product classification that all jurisdictions would adopt. In 2025 the need is driven by several forces:

Institutional adoption: Hedge funds, family offices, and pension schemes are buying crypto as a hedge or diversification tool, demanding regulatory certainty.
Cross‑border flows: Decentralised exchanges (DEXs) allow instantaneous movement of assets across borders, making enforcement patchy.
Tokenisation boom: Projects like tokenised real estate, art, and bonds are emerging, raising questions about securities law applicability.
Regulatory fragmentation: The EU’s MiCA, the US SEC, China’s outright ban, and other disparate regimes create compliance headaches for global platforms.

The G20, a forum of 19 countries plus the European Union, has historically tackled financial crises. In 2024 it launched a “Crypto Asset Working Group” to draft a blueprint that could be adopted by member economies. Parallelly, the Financial Stability Board (FSB), an international body overseeing global financial regulation, issued a report in early 2025 outlining risk mitigation strategies for crypto‑assets and recommending coordinated supervisory approaches.

Both bodies aim to prevent “forum shopping” where issuers choose jurisdictions with lax rules. By aligning standards, they hope to protect consumers, preserve market integrity, and foster innovation without creating regulatory arbitrage.

How the G20/FSB framework works

Classification of crypto assets: The framework proposes a taxonomy that distinguishes between “crypto‑assets”, “stablecoins”, and “security tokens”. Each category carries specific AML/KYC thresholds and reporting obligations.
Cross‑border cooperation: Member jurisdictions agree to share information through an automated, secure portal. This mechanism mirrors the International Financial Reporting Standards (IFRS) model used for corporate accounting.
Supervisory harmonisation: Central banks and financial regulators will adopt common metrics for risk assessment, such as “Systemic Risk Index” scores that factor in liquidity, concentration, and custody exposure.
Consumer protection: The framework mandates disclosure of risks, transparent fee structures, and a dispute‑resolution mechanism overseen by an independent body.

The G20’s draft is still a policy proposal; the FSB has issued a set of “Guidelines for Crypto Asset Supervisors” that are already being implemented in several jurisdictions. The synergy between these documents offers a roadmap that could converge into a single, enforceable standard within the next two years.

Market impact & real‑world use cases

Tokenised assets represent one of the most promising applications of crypto technology. By converting physical property or commodities into blockchain tokens, platforms can provide fractional ownership and liquidity that were previously impossible.

Model	Off‑chain (Traditional)	On‑chain (Tokenised)
Ownership transfer	Paper deeds, title companies, 2–3 weeks	Smart contract, instant settlement
Yield distribution	Bank transfers, monthly statements	Automated stablecoin payouts via ERC‑20
Transparency	Limited to audit reports	Public ledger, immutable records
Liquidity	Illiquid until sale on secondary market	Secondary marketplace (subject to regulatory approval)

Real‑world examples include:

Tokenised real estate: Projects in Singapore and Dubai have issued ERC‑20 tokens backed by luxury apartments, offering quarterly rental income.
Sovereign bonds: Several Central Banks are exploring tokenised sovereign debt to reduce settlement times.
: High‑value art pieces are being fractionally owned via NFTs that include revenue sharing from exhibitions and sales.

These use cases illustrate the potential upside: lower entry barriers, increased liquidity, and automation of complex processes. However, they also expose investors to new types of risk—smart contract bugs, custody failures, or regulatory crackdowns on tokenised securities.

Risks, regulation & challenges

The G20/FSB framework is a positive step but it does not eliminate all risks:

Smart‑contract vulnerability: Even audited code can contain hidden logic errors that could lead to loss of funds.
Custodial risk: Many tokenised assets rely on third‑party custodians; a hack or insolvency could freeze the underlying physical asset.
Liquidity constraints: Until secondary markets mature, token holders may find it difficult to sell their holdings in a timely manner.
Legal ownership ambiguity: The legal status of tokenised shares can differ from jurisdiction to jurisdiction, potentially leading to disputes over title.
KYC/AML compliance: Even with harmonised standards, enforcement depends on local regulators’ capacity to monitor and sanction non‑compliant actors.

Concrete examples include the 2023 incident where a tokenised US Treasury bond platform suffered a smart‑contract exploit that drained $4 million of investor funds. Regulators in the UK subsequently tightened reporting requirements for tokenised securities, creating compliance burdens for smaller platforms.

Outlook & scenarios for 2025+

Bullish scenario: The G20 and FSB standards are adopted by most major economies within a year. Compliance becomes streamlined, leading to a surge in institutional capital flowing into tokenised assets. Secondary markets develop robust liquidity pools, making RWA tokens attractive alternatives to traditional equities.

Bearish scenario: Regulatory fragmentation persists; some jurisdictions refuse to adopt the harmonised framework or impose stricter rules that hamper cross‑border settlement. Tokenised asset platforms face higher compliance costs, limiting growth and driving users back to fiat‑based markets.

Base case: By mid‑2026 most G20 members will have incorporated core elements of the proposed standards, with phased implementation for smaller economies. Platform operators will need to invest in regulatory technology (RegTech) to manage KYC/AML across borders. Investors should monitor the speed at which secondary markets become available and the legal clarity around ownership rights.

Eden RWA: A concrete example of tokenised real‑world assets

In this evolving regulatory environment, Eden RWA demonstrates how a well‑structured platform can navigate global standards while delivering tangible value to retail investors. The company’s core offering is a fractional investment in French Caribbean luxury villas—Saint‑Barthélemy, Saint‑Martin, Guadeloupe, and Martinique.

How it works: Each villa is owned by a Special Purpose Vehicle (SPV), typically an SCI or SAS. Investors purchase ERC‑20 property tokens that represent an indirect share of the SPV. The tokens are fully auditable on Ethereum’s mainnet, ensuring transparency. Rental income is paid out in USDC to investors’ Ethereum wallets via automated smart contracts.

Beyond passive income, Eden RWA introduces a unique experiential layer: every quarter a bailiff‑certified draw selects a token holder for a free week in the villa they partially own. This not only enhances engagement but also demonstrates real utility tied to ownership.

The platform employs a “DAO‑light” governance model. Token holders can vote on key decisions such as renovation projects, sale timing, and usage policies, ensuring that community interests align with property management objectives.

Technically, Eden RWA uses ERC‑20 tokens for each property (e.g., STB-VILLA-01) and a utility token ($EDEN) to incentivise platform participation. Wallet integrations include MetaMask, WalletConnect, and Ledger hardware wallets. An in-house peer‑to‑peer marketplace facilitates primary sales during the presale period and will later support secondary trading.

As global regulators tighten oversight, Eden RWA’s compliance framework—KYC/AML procedures, audited smart contracts, transparent SPV ownership documentation—positions it well for alignment with forthcoming G20/FSB standards. Retail investors seeking access to high‑end real estate can now do so with the confidence that their holdings are backed by tangible assets and governed transparently.

To learn more about Eden RWA’s presale and how you might participate, explore the official channels below:

Eden RWA Presale Landing Page

Join the Eden RWA Presale on the Platform

Practical takeaways for investors

Track which jurisdictions have adopted G20/FSB standards and how that affects tokenised asset offerings.
Verify that a platform’s SPV structure complies with local property law and is fully disclosed on-chain.
Assess the liquidity provisions—do they offer an approved secondary market or are you locked in?
Check for independent audits of smart contracts and custodial arrangements.
Understand the KYC/AML requirements: will you need to provide extensive documentation, and how is that data protected?
Monitor tokenomics: does the platform use a dual‑token model? What are the incentives for holding or staking?
Ask whether the platform has contingency plans for regulatory changes—e.g., can it adjust its legal structure quickly?

Mini FAQ

What is the difference between MiCA and the G20/FSB framework?

MiCA is a European Union regulation specifically targeting crypto‑assets, while the G20/FSB framework aims to create global harmonised standards that member economies can adopt. MiCA will likely be incorporated into the broader G20 consensus if the latter gains traction.

Will tokenised real estate become regulated as securities?

If a token represents an ownership interest in property, many jurisdictions classify it as a security under existing securities law. The upcoming standards intend to clarify classification and provide consistent reporting requirements.

How does Eden RWA handle rental income distribution?

Eden RWA uses smart contracts that automatically transfer USDC payouts from the SPV’s bank account to investors’ Ethereum wallets, ensuring timely and transparent income flows.

What happens if a tokenised asset’s underlying property is sold?

The SPV will notify token holders via governance votes. Depending on the outcome, tokens may be redeemed for cash or remain in the new ownership structure with adjusted yield expectations.

Can I trade Eden RWA tokens on existing crypto exchanges?

Currently, tokens are available only through the platform’s presale and planned secondary marketplace. External exchange listings will depend on regulatory approval and liquidity demand.

Conclusion

The convergence of G20 and FSB efforts signals a turning point in global crypto regulation. By establishing unified standards for classification, compliance, and cross‑border cooperation, regulators aim to protect consumers while fostering innovation. For the retail investor, this means clearer rules, better protection against fraud, and more reliable pathways into tokenised real‑world assets.

Platforms that already embed strong legal structures—such as Eden RWA’s SPV-backed property tokens—are positioned to thrive under these new standards. As regulatory clarity improves, the potential for fractional ownership of high‑value assets will expand, offering a compelling alternative to traditional investment avenues.

Disclaimer

This article is for informational purposes only and does not constitute investment, legal, or tax advice. Always do your own research before making financial decisions.