Cardano gives token issuers power to freeze, seize and restrict assets
The new standard is aimed at regulated stablecoins, funds and bonds whose issuers need identity checks, sanctions controls and other transfer rules built into the asset itself.
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Summary
- The Cardano Foundation launched CIP-0113, a token standard that allows issuers of regulated assets to restrict recipients and freeze, seize or transfer holdings under specified rules.
- The standard enforces compliance checks on every transfer, including identity and sanctions screening, without requiring a hard fork of the Cardano network.
- Issuers can choose or customize rules and update them as regulations change, though holders may be subject to controls that allow authorized parties to move tokens without their consent.
