This time, the EU is taking a “wait and see” approach to setting rules for tokenized securities.
On November 9, the European Central Bank, the European Commission, and ESMA jointly began inviting applications to join the European Tokenised Securities Group (ETSG). The task is clear: draft common standards for holding and settling tokenized securities, enable interoperability between different distributed ledger technologies (DLTs), and ensure they can connect to existing financial systems. The standards will directly support Appia, the Eurosystem’s blueprint for tokenized markets.
What’s interesting is how the group will operate. Its chair will be chosen from among industry members, while regulators—the ECB, the EU, and ESMA—will serve only as observers. Applications close on November 27, work officially begins in January 2027, and the first set of standards is expected in early 2028.
Why let the industry write the rules itself? Because the real-world asset (RWA) tokenization market is growing too fast. Take tokenized stocks, for example: their market value has surged from €300 million at the end of 2024 to €1.9 billion today. If regulators impose rules directly, they could easily stifle innovation. Letting industry experts with technical know-how take the lead, followed by regulators incorporating the standards through legislation, is likely to face much less resistance.
For now, this is only the recruitment stage; no draft has been released yet. But the race is on to define the standards for the next generation of financial infrastructure.
You can also follow me for more news and updates.
#欧盟邀业界制定代币化证券标准 $BTC $BNB $EUR
The above content is compiled from public reports and is for informational purposes only. It does not constitute any advice.
On November 9, the European Central Bank, the European Commission, and ESMA jointly began inviting applications to join the European Tokenised Securities Group (ETSG). The task is clear: draft common standards for holding and settling tokenized securities, enable interoperability between different distributed ledger technologies (DLTs), and ensure they can connect to existing financial systems. The standards will directly support Appia, the Eurosystem’s blueprint for tokenized markets.
What’s interesting is how the group will operate. Its chair will be chosen from among industry members, while regulators—the ECB, the EU, and ESMA—will serve only as observers. Applications close on November 27, work officially begins in January 2027, and the first set of standards is expected in early 2028.
Why let the industry write the rules itself? Because the real-world asset (RWA) tokenization market is growing too fast. Take tokenized stocks, for example: their market value has surged from €300 million at the end of 2024 to €1.9 billion today. If regulators impose rules directly, they could easily stifle innovation. Letting industry experts with technical know-how take the lead, followed by regulators incorporating the standards through legislation, is likely to face much less resistance.
For now, this is only the recruitment stage; no draft has been released yet. But the race is on to define the standards for the next generation of financial infrastructure.
You can also follow me for more news and updates.
#欧盟邀业界制定代币化证券标准 $BTC $BNB $EUR
The above content is compiled from public reports and is for informational purposes only. It does not constitute any advice.