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ARTICLE · 02 OCTOBER 2025

UCC Articles 9 And 12: A Modern Legal Framework For Secured Transactions And Digital Assets

Lowenstein Sandler LLP
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As the proliferation of digital assets, including cryptocurrencies, stablecoins, and tokenized securities, becomes increasingly mainstream in global finance...

United StatesTechnology
Lowell A. Citron
Lowell A. Citron
Geena M. Caporale
Geena M. Caporale
Michelle Podolnyy
Michelle Podolnyy

Introduction

As the proliferation of digital assets, including cryptocurrencies, stablecoins, and tokenized securities, becomes increasingly mainstream in global finance, the legal frameworks that govern property rights over such digital assets have finally begun to adapt. The Uniform Law Commission (ULC) and the American Law Institute (ALI) approved significant revisions to the Uniform Commercial Code (UCC), including key amendments to Article 9 and the addition of Article 12. These revisions introduced a newly defined class of digital assets called "controllable electronic records" (CERs), which aim to establish a legal framework tailored to the practicalities of digital assets.1 For legal practitioners and business professionals, understanding the intersection of Articles 9 and 12 is essential to navigating the legal landscape of digital commerce, fintech, blockchain platforms, and tokenized financing structures in the secured financing arena.

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