Cipollone Calls for EU Legal Framework Harmonisation to Boost Tokenised Assets

European Central Bank Executive Board member Piero Cipollone has called for greater clarity and harmonisation of the European legal framework to allow tokenised assets to take off. Speaking at a Bundesbank symposium in Frankfurt, he stated that 'we need to provide the legal foundations for tokenised assets to be issued, held and transferred seamlessly across the EU'.

Cipollone stressed that advanced technology cannot compensate for fragmented law, pointing out specific areas where clarity is needed, including property rights, settlement finality, liability, custody, and smart contract enforcement.

The call comes as co-legislators consider extending and strengthening the DLT pilot regime. The Eurosystem plans to launch 'Pontes', its central bank money settlement service for transactions carried out using DLT, this year, with a gradual move into 24/7 operation by mid-2028.