ESMA, EU regulators prioritize AI and tokenization supervision from 2027
Big changes are coming to Europe's financial world: starting in 2027, ESMA and national regulators across the European Union will make AI, tokenization and other emerging technologies a supervisory priority from 2027 and examine how regulated firms use AI and tokenized products in their core activities.
This move, announced yesterday, is all about keeping up with fast tech growth while making sure things stay safe for everyone.
ECB plans small tokenized securities investment
The plan, called "Innovation with investor safeguards," means the European Securities and Markets Authority (ESMA) and national regulators will keep a closer eye on how AI and tokenized products are used in key financial roles.
The European Central Bank said it plans to invest a small portion of its reserves in tokenized securities, giving it direct exposure to blockchain-based financial markets.
The ECB and the bloc's central banks also called this week for a wider ban on crypto platforms' ability to offer stablecoin yields, rewards, or returns.