EU Stock Market Fragmentation Costs Billions as Tokenized Stocks Emerge

The European Union's fragmented stock market has been a long-standing issue, with around thirty trading venues and twenty central depositories compared to a single depository in the United States.

This fragmentation has led to €300 billion of European savings leaving for foreign markets every year, mainly American, while €10 trillion sits idle in deposit accounts.

The EU's MiCA regulation offers a portable crypto license across 27 member states, but stocks remain trapped in national infrastructures.

Tokenized American stocks from platforms like Robinhood, Kraken, and Gemini are already being traded continuously from the European Economic Area, while traditional stock trading remains bound by national borders.