Digital Asset Firms Urge EU to Act Fast on Tokenization Rules
European digital asset firms are sounding the alarm that the EU risks losing its competitive edge in tokenization and blockchain technology to the U.S. In a letter to policymakers, a coalition of eight regulated firms—including Securitize, 21X, and Boerse Stuttgart Group’s Seturion—warned that the EU’s cautious regulatory approach could stifle innovation. The U.S., by contrast, is advancing rapidly, with plans to implement T+0 instant settlement for tokenized securities by 2026.
The EU’s Distributed Ledger Technology (DLT) Pilot Regime, designed to oversee tokenized assets, has been criticized for its restrictive measures. Transaction volume caps and limitations on eligible assets are seen as unnecessary barriers. Without swift action to modernize these rules, Europe may cede leadership in the global digital asset market to the U.S., where regulatory clarity and institutional adoption are accelerating.