Europe’s digital asset future

The financial industry is undergoing a profound transformation. Digital assets are no longer a theoretical concept - they are becoming a cornerstone of modern capital markets. 

At Euroclear, our mission is clear: to innovate to bring safety, efficiency and connectivity to financial markets for sustainable economic growth. Leading financial institutions around the world entrust us with EUR 41 trillion in assets and millions of transactions every day. This trust fuels our commitment to ensure that markets embrace innovation in a safe and efficient manner.

We see the digital asset evolution as a unique opportunity to create more efficient, inclusive and innovative financial ecosystems. In December 2025, we shared this vision at the European Parliament’s Committee on Economic and Monetary Affairs (ECON) hearing on digital assets. Our message was clear: Europe must act now to maintain its leadership in digital finance.

Digital assets have the potential to fundamentally change how companies and investors use cash, borrow, transact and invest. Their adoption promises:

• operational efficiencies through streamlined issuance, settlement and asset management
• broader market access, democratising investment and ownership
• enhanced liquidity, enabling 24/7 capital markets across multiple time zones

These benefits are no longer theoretical. They are already being applied to traditional asset classes and mainstream financial markets that support the global economy.

Euroclear has been working to support the adoption of Distributed Ledger Technologies (DLT) and digital assets for several years. In 2023, we launched our D-FMI platform and digital bond issuance service, enabling issuers to create Digitally Native Notes directly on blockchain. Issuers include the World Bank, Asian Infrastructure Investment Bank and leading European corporates.

To complement this, we co-developed the Digital Asset Securities Control Principles (DASCP) - an industry-led risk and control framework addressing operational, legal and regulatory challenges for integrating digital securities into mainstream finance.

More recently, we partnered with Banque de France on PYTHAGORE, an ambitious initiative to modernise the EUR 350 billion NEU CP market - Europe’s leading short-term debt market - using blockchain. Today, this market settles in central bank money; tomorrow, it will settle in Central Bank Digital Currency (CBDC). This project supports the Savings and Investments Union, promoting an integrated and technologically advanced ecosystem for short-term capital raising.

To scale adoption, Europe needs:

• a sovereign euro cash leg available 24/7, complemented by regulated digital cash under Markets in Crypto-Assets (MiCA) regulation
• a revised DLT Pilot Regime that supports both small-scale innovation and large-scale projects
• eligibility of digital securities as collateral for Eurosystem operations, incentivising issuance
• a harmonised legal framework - a ‘28th regime’ for digital assets to reduce friction and enable cross-border scalability

These foundations will foster competitive and sovereign European digital markets, unlocking efficiencies and creating value. They also safeguard financial stability and enable seamless adoption via interoperability between legacy systems and new technologies.

Europe has pioneered the digital asset landscape, but global competition is accelerating with players moving fast toward 24/7 markets and deploying services at scale. To remain competitive, Europe must accelerate regulatory clarity and market development.

Public and private sector collaboration is essential. At Euroclear, initiatives such as D-FMI and PYTHAGORE reflect our commitment to shaping a future-ready financial ecosystem in partnership with market participants, the central banks and policy makers. Together, we can build the foundations for a more innovative, competitive and resilient Europe.