TLDR
- Cardano Foundation launched CIP-0113, a new token standard, on October 7, 2026.
- The standard lets issuers freeze, seize, and restrict regulated tokens such as stablecoins and funds.
- Compliance rules are enforced directly on the Cardano ledger instead of an outside server.
- Wallets Eternl and GeroWallet and the explorer CardanoScan already support the standard.
- Swiss group CMTA recognized CIP-0113 tokens as comparable to its framework for on-chain securities.
The Cardano Foundation announced a new token standard on October 7, 2026. The standard is called CIP-0113 and it is now live on the Cardano mainnet.
Cardano tokens can now be frozen, says the Cardano Foundation.
Its new CIP-0113 standard lets issuers of stablecoins, funds and bonds on $ADA block, freeze or seize holdings when the rules require it.
Like this post. It's the only thing on Cardano they can't seize. pic.twitter.com/lLi4WTLKjV
— Altcoin Buzz (@Altcoinbuzzio) October 7, 2026
CIP-0113 gives token issuers new powers. They can freeze holdings, seize them, and restrict who is allowed to receive the asset.
The standard is built for regulated financial products. This includes stablecoins, tokenized funds, and bonds.
Most crypto tokens can move freely between any two wallets. That is a problem for banks and fund managers who must follow identity and sanctions rules.
CIP-0113 solves this by building the rules into the token itself. The network checks those rules before approving any transfer.
For example, a fund that only sells to verified investors could block a transfer to someone who has not passed identity checks. A stablecoin issuer could stop its tokens from reaching a sanctioned wallet address.
How the Rules Are Enforced
The enforcement does not happen through a company dashboard or outside server. The Cardano ledger itself validates the rules every time a token is minted, burned, or transferred.
This means the restrictions apply no matter which wallet or service a holder uses. The Cardano Foundation said the upgrade did not require a hard fork, since it uses features already built into the network.
“The rules have to travel with the asset and be enforced every time it moves,” Cardano Foundation chief executive Frederik Gregaard said in a statement.
Modular Design and Industry Support
CIP-0113 is not one fixed rulebook. It uses a core standard combined with smaller modules that issuers can customize or swap over time.
Several tools already support the standard. These include the wallets Eternl and GeroWallet, the blockchain explorer CardanoScan, and developer tool provider BloxBean.
Other blockchains have similar systems. Ethereum has a permissioned token standard called ERC-3643, Solana offers transfer controls through token extensions, and the XRP Ledger allows issuers to restrict holders and claw back balances.
The Capital Markets and Technology Association, a Swiss industry group, also recognized CIP-0113 tokens. The group said the tokens meet standards comparable to its framework used for issuing tokenized shares in Switzerland.
Development on the standard began back in 2023. It was formally merged into the Cardano Improvement Proposals repository on September 29, 2026, and went live on mainnet about a week later during the TOKEN2049 conference.
Cardano’s technical design creates one wrinkle. Its ledger structure can hold several different tokens in a single shared transaction output, similar to cash stuffed into one envelope.
If an issuer restricts one token sitting in that shared output, other tokens in the same output could get caught up in the restriction. CIP-0113 addresses this through a mechanism the Foundation calls “unfracking.”
Wallets and decentralized finance platforms will still need to handle restricted and unrestricted tokens carefully when bundling them together. The Foundation’s technical notes also tell lending platforms to review a token’s rules before accepting it as collateral, since some rule sets allow an authorized party to move tokens without the holder’s consent.
ADA itself is not affected by these changes and remains a freely transferable asset. Only tokens whose issuers choose to adopt CIP-0113 carry the new restrictions.
ADA’s price fell 4.5% over the past 24 hours, matching a broader decline across the crypto market.
