Digital Asset Firms Warn EU Risks Lagging Behind US in Crypto Tokenization Regulations

Leading digital asset companies are raising alarms that the European Union is at risk of falling behind the United States in establishing clear regulatory frameworks for tokenization. Industry experts caution that while the EU's Markets in Crypto-Assets (MiCA) regulation is a significant step, its current scope lacks specific rules for the tokenization of traditional financial assets like bonds and funds. This regulatory gap, they argue, could hinder innovation, drive investment to more defined jurisdictions like the U.S., and ultimately slow the growth of the EU's digital economy. The call is for EU policymakers to accelerate efforts and provide legal certainty to foster a competitive tokenized assets market.