European Tokenization at a Crossroads: France FinTech Pushes for Bigger DLT Pilot Regime

Alejandro Martínez · 2026-09-11

France FinTech is teaming up with a coalition of traditional finance players and tokenized asset enthusiasts to push European co-legislators to beef up the DLT Pilot Regime (DLTPR). It's all part of the Market Integration and Supervision Package (MISP), and the stakes are high. ### What's on the Table? The European Commission wants to raise the cap for financial instruments traded on DLT infrastructure from €6 billion to €100 billion (that's about $6.5 billion to $108 billion). Sounds like a big jump, right? But here's the thing: it's still not enough. Not when you look at the size of capital markets and how fast tokenization is moving globally. So, what's the problem? The coalition argues that even with the higher cap, European DLT infrastructure won't be able to reach true market scale. And that could put the EU behind in the global race for tokenized finance. ### The Coalition's Main Asks They've laid out three key recommendations: - **Remove the global cap entirely, or set it high enough** to actually support growth. No more arbitrary limits that hold back innovation. - **Create a flexible adjustment mechanism** so the European Commission can tweak thresholds as the market evolves. Because let's face it, static rules in a fast-moving space are a recipe for stagnation. - **Ensure fair rules between infrastructures**—no different thresholds that favor one model over another. A level playing field is essential. The goal? A European framework that can sustainably support tokenized financial markets and keep them competitive on a global scale. ### Why This Matters Tokenization isn't just a buzzword. It's reshaping how assets are issued, traded, and settled. Europe has been a pioneer with the DLTPR, but without the right adjustments, it risks falling behind the US and Asia. The coalition's message is clear: ambition is good, but action is better. And the time to act is now. > "We need a regulatory environment that doesn't just keep up with tokenization, but actually drives it forward." For professionals in the payments and fintech space, this is a development worth watching. The decisions made in Brussels will ripple across the Atlantic and beyond. ### What's Next? The proposal is now in the hands of the European Parliament and Council. The coalition is urging them to be bold. Whether they'll listen is anyone's guess, but the pressure is on. In the meantime, keep an eye on how this unfolds. Because if Europe gets this right, it could set a global standard. And if it doesn't, well, let's just say the competition won't wait. Stay tuned for more updates on this evolving story.