EU Targets Stronger Capital Markets With New Reforms
The European Commission has unveiled a sweeping reform package designed to bolster the EU's capital markets, aiming to close the competitiveness gap with the US and China. The plan focuses on modernizing market infrastructure, streamlining cross-border investment, and granting expanded powers to ESMA—modeling it after the SEC's oversight framework.
Market fragmentation remains a critical hurdle, with €33 trillion in private savings often flowing abroad rather than fueling domestic growth. The reforms explicitly address barriers in both traditional finance and digital assets, where divergent national regulations hinder tokenization and crypto services.