At TOKEN2049 in Singapore, the Cardano Foundation flipped the switch on CIP-0113, a token standard now live on mainnet. The idea is blunt: issuers of things like stablecoins, tokenized bonds or funds get a built-in toolkit — identity checks, sanctions screening, account freezes, and the ability to seize funds without asking the holder first. None of it runs through an outside server. The ledger itself enforces the rules every time a token is minted, burned or moved.
The proposal landed in Cardano's improvement-proposal repository on September 29, but the groundwork and audits stretch back to 2023. Wallet support from Eternl and GeroWallet, plus the CardanoScan explorer, arrived almost immediately.
Plain ADA stays outside the new rules — the Foundation is explicit that the network's native coin isn't becoming freezable. There's a catch buried in the mechanics, though: because Cardano bundles assets into shared transaction outputs, freezing a CIP-0113 token can briefly lock up whatever else sits in that same output, ADA included.
Switzerland's Capital Markets and Technology Association has already put CIP-0113 tokens on par with its own CMTAT framework, the one used to certify on-chain securities in the country. Foundation CEO Frederik Gregaard summed up the pitch in one line: the rules have to travel with the asset and apply every time it moves.
For institutions wanting to issue bonds or funds on a public chain, that solves the usual objection — no way to enforce a court order or a sanctions list. For the crypto crowd, it's the opposite of the point: one issuer can now freeze and confiscate a token single-handedly, no network vote required.
