EU Tokenization Push: France FinTech Says Current Rules Fall Short

Alejandro Martínez · 2026-09-11

France FinTech isn't mincing words. Alongside a coalition of traditional finance players and tokenized asset firms, they're pushing European co-legislators to aim higher on the DLT Pilot Regime (DLTPR). The vehicle? The Market Integration and Supervision Package (MISP). And the message is simple: the current plan doesn't cut it. ### The 6 to 100 Billion Euro Question Here's the headline number. The European Commission wants to raise the cap on financial instruments traded on DLT infrastructure from €6 billion to €100 billion. In dollar terms, that's roughly $6.5 billion to $108 billion. Sounds like a leap, right? It is. But France FinTech and its allies argue it's still nowhere near enough. Why? Because global capital markets are massive. Tokenization is accelerating worldwide. And if Europe sets a ceiling that's too low, it risks boxing in its own DLT infrastructure before it has a chance to scale. Think of it like building a highway with only two lanes when you know traffic is about to triple. You're just asking for a bottleneck. ### What the Coalition Actually Wants The group's recommendations boil down to three core asks: - **Remove the global cap entirely** – or at least set it high enough that European DLT infrastructure can reach real market size. No artificial ceilings. - **Build in flexibility** – give the European Commission a mechanism to adjust thresholds as the market evolves. Rules shouldn't be frozen in time. - **Keep the playing field level** – no differentiated thresholds that favor one business model over another. Fair rules for all infrastructures. As one coalition member put it: "We're not asking for special treatment. We're asking for a framework that doesn't handicap Europe before the race even starts." ### Why This Matters Beyond Brussels If you're in the payments or fintech space, you know tokenization isn't a niche experiment anymore. It's becoming the backbone of how securities, funds, and even real assets get issued and traded. The U.S. is watching closely. American firms are already deep into tokenized treasuries and digital asset infrastructure. If Europe lags behind, it doesn't just hurt European competitiveness—it shifts global capital flows. A restrictive DLTPR could push innovation offshore. A flexible one could make the EU a magnet for tokenized finance. ### The Bigger Picture The DLT Pilot Regime was always meant to be a sandbox. But sandboxes are for testing, not for scaling. At some point, you have to open the gates. France FinTech and its partners are essentially saying: the Commission's proposal is a step, but not a stride. And in a global race, a step isn't enough. The coalition has laid out its case in a joint letter. Whether lawmakers listen is another matter. But one thing is clear—the tokenization train isn't slowing down. Europe can either build tracks that fit, or watch it pass by. For payments professionals on both sides of the Atlantic, this is one to track. Because the rules Europe sets today will shape where the next wave of digital asset infrastructure gets built tomorrow.