Euroclear has noted in a recent update that the global financial industry is undergoing a transformation. As stated in the report, digital assets are no longer simply a theoretical concept – they are actually on their way to becoming a cornerstone of modern capital markets. At Euroclear, their stated mission is to try to innovate to bring “efficiency and connectivity to financial markets for sustainable economic growth.”
As noted in the report from Euroclear, FIs around the world “entrust them with EUR 41 trillion in assets and millions of transactions every day.”
This trust fuels their commitment to “ensure that markets embrace innovation in an efficient manner.”
They see the digital asset evolution as an “opportunity to create more efficient, inclusive and innovative financial ecosystems.”
In December 2025, they shared this vision at the European Parliament’s Committee on Economic and Monetary Affairs (ECON) “hearing on digital assets.”
Their 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 aims for:
- 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, they had launched our D-FMI platform and digital bond issuance service, enabling issuers in order to “create Digitally Native Notes directly on blockchain.”
Issuers include the World Bank, Asian Infrastructure Investment Bank and European corporates.
To complement this, they 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.”
Recently, they also partnered with Banque de France on PYTHAGORE, an 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 Savings and Investments Union, thus “promoting an integrated 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 safeguard financial stability and enable “adoption via interoperability between legacy systems and new technologies.”
Europe has pioneered the digital assets ecosystem, 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 considered to be vital.
At Euroclear, various key initiatives such as D-FMI and PYTHAGORE reflect their ongoing commitment to shaping “a future-ready financial ecosystem in partnership with market participants, the central banks and policy makers.”