Adan submitted its response to the European Commission Consultation on the Integration of EU Capital Markets

Promoting DLT-based market infrastructures is crucial to enable pan-European, cross-border access to liquidity. The use of DLT offers instant, transparent, secure, and cheaper transactions across jurisdictions, enabling the efficient mobilization of liquidity within the EU and globally, a key step toward achieving a truly integrated CMU.

Key points from our response include:

-A more ambitious version of the DLT Pilot Regime is crucial. To deliver its expected benefits, it should be amended in several key areas:
a) The thresholds on the volume of tokenized financial instruments issued and traded should be significantly increased.
b) The list of financial assets eligible should be extended to all financial instruments.
c) The current six-year limit should be permanently removed to provide participants in the pilot regime with the long-term stability and predictability needed to launch innovative projects.
d)Allowing stablecoins and tokenized bank money to improve settlement efficiency and the interoperability necessary to provide cross-border mobility.

-Adapting the legal frameworks to accommodate all types of financial instruments in the Pilot and allow for crypto-ETFs, also ensuring regulations align with the operational realities of DLT-based markets;

-Streamlining licensing procedures and harmonizing supervisory standards across member states to reduce administrative burdens and costs;
We believe these steps are crucial to ensure an innovative, competitive, and integrated capital markets landscape.