A. Digital Assets are generally considered to be private assets that depend primarily on cryptography and distributed ledger or similar technology. However, the nature and characteristics of digital assets vary considerably. For example, digital assets that are tokenised traditional assets (whose value is linked to an underlying traditional asset or a pool of traditional assets (such as financial instruments or commodities)) may have a different risk profile when compared to other digital assets that are based on an intangible or non-traditional underlying. For the purposes of this Q&A “digital asset” is used to refer to the latter type of asset.

The Central Bank must be satisfied that assets in which a UCITS invests are capable of meeting the eligible asset criteria for UCITS and that indirect exposure to the assets is capable of being appropriately risk managed. As of the date of publication of this Q&am

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