EU Banks Get Crypto-Friendly With Tokenized Asset Rules

What Changed:

Under the EU’s CRR III/CRD 6 reforms, EU banks can now treat tokenized traditional assets (like securities and e-money tokens) just like their non-tokenized counterparts, without extra capital requirements. This makes tokenized assets far more attractive than in other jurisdictions, where banks face risk weights up to 1,250%.

However, caution remains for unbacked crypto such as Bitcoin and Ethereum—banks still face steep risk weights (1,250%) and a maximum exposure limit of 1% of their capital.

Why This Matters:

Tokenization becomes bank-friendly, paving the way for broader deployment of digital securities, e-money, and other blockchain-native financial products.

The EU is positioning itself as a global leader in regulated digital asset adoption, benefiting from clarity and liquidity in a sector traditionally considered high-risk.