As digital assets become central collateral in international banking, traditional lex situs rules are increasingly inadequate for decentralised ledger systems. The absence of a fixed legal location creates significant jurisdictional uncertainty
in determining proprietary rights and enforcement.
This article examines the evolving legal framework for enforcing security over digital assets, shifting the focus from location-based analysis to a functional nexus grounded in technical and commercial realities. Drawing on English case law and the 2023 UNIDROIT Principles, it proposes a structured approach to cross-border enforcement risk.
It argues that effective enforcement depends not solely on legal doctrine but on aligning proprietary rights with mechanisms of technical control, including multi-signature custody structures. Only this integration allows legal remedies to translate into actual control over digital assets in a decentralised financial environment.
26 JUL 2026