In a coordinated effort, a group of leading financial market participants—including Nasdaq, the Stuttgart Stock Exchange (Börse Stuttgart), and several other prominent institutions—has formally appealed to European Union regulators to either remove the existing ceiling or substantially raise it within the framework of the EU’s tokenisation pilot programme. This request stems from growing concerns that the current limit on tokenised assets is overly restrictive and does not reflect the rapid evolution of digital finance across the continent. The coalition’s statement emphasizes that the tokenisation pilot, which was launched to explore the benefits of converting traditional financial assets into digital tokens, has already encountered practical challenges due to the imposed cap.
According to the signatories, the ceiling—originally set to test market resilience and protect investors—has inadvertently become a bottleneck, preventing many innovative projects from fully leveraging the potential of blockchain‑based securities. One of the core arguments presented by Nasdaq and its partners is that the cap limits the total market value of tokenised assets that can be issued under the pilot.
While the exact figure was designed as a cautious starting point, real‑world applications have quickly outgrown this threshold. Several European initiatives, ranging from tokenised bonds and equity shares to asset‑backed tokens representing real‑estate and infrastructure projects, have already exceeded the prescribed limit.
The coalition points to concrete examples: a German infrastructure tokenisation project that aims to raise €150 million, a French corporate bond tokenisation that has attracted €120 million in subscriptions, and a pan‑European green‑energy token that has already secured commitments well beyond the pilot’s ceiling. By highlighting these cases, the coalition illustrates that the current cap not only hampers the scalability of existing projects but also discourages new entrants from experimenting with tokenised structures.
The participants argue that a higher—or even unlimited—cap would enable a broader spectrum of issuers to test the technology, thereby generating richer data for regulators, investors, and market participants alike. They contend that the pilot’s ultimate goal is to gather comprehensive insights into operational, legal, and supervisory aspects of tokenised finance, and that restricting the volume of assets under test runs counter to that objective.
In addition to the practical constraints, the coalition underscores the strategic importance of Europe positioning itself as a leader in the emerging tokenised asset market. With the United States and Asia rapidly advancing their own regulatory sandboxes and pilot programmes, European policymakers risk falling behind if they maintain a conservative stance.
The coalition suggests that a more flexible cap would send a strong signal to global investors that the EU is committed to fostering innovation while maintaining robust oversight. From a regulatory perspective, the coalition acknowledges the need for safeguards but proposes a balanced approach.
They recommend that any increase in the cap be accompanied by enhanced reporting requirements, real‑time monitoring mechanisms, and clear escalation procedures for potential market abuse. This dual‑track strategy would allow regulators to maintain vigilance while granting market participants the latitude to scale their tokenisation experiments. The coalition’s appeal also touches upon the broader ecosystem benefits that a higher cap could unlock.
For example, greater token issuance volumes would stimulate the development of ancillary services such as digital custodians, token‑settlement platforms, and compliance tools tailored to tokenised assets. Moreover, a larger pool of tokenised securities would improve liquidity, enabling secondary‑market trading and price discovery that are essential for investor confidence. In response to the coalition’s request, EU officials have indicated a willingness to review the pilot’s parameters.
They have invited stakeholders to submit detailed proposals outlining the specific cap adjustments they deem appropriate, along with accompanying risk‑mitigation frameworks. The consultation period is expected to run for several weeks, after which the European Commission will present a revised set of guidelines to the European Parliament and the Council. Overall, the message from Nasdaq, Börse Stuttgart, and their allies is clear: the tokenisation pilot is a promising laboratory for financial innovation, but its current limitations are stifling the very experimentation it was designed to encourage. By lifting or substantially raising the cap, the EU can accelerate the maturation of tokenised markets, attract new capital, and reinforce its reputation as a forward‑looking financial hub.
The coalition remains optimistic that policymakers will recognize the urgency of the matter and act swiftly to adjust the regulatory framework, thereby unlocking the full potential of digital asset tokenisation across Europe.