Tokenization by Franklin Templeton and BNP Paribas promises to enhance EU capital flow efficiency

Tokenization by Franklin Templeton and BNP Paribas promises to enhance EU capital flow efficiency

Executives from Franklin Templeton and BNP Paribas highlight that tokenization could enhance capital efficiency in Europe, streamlining settlements and boosting liquidity across markets.

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Executives from Franklin Templeton and BNP Paribas emphasized the potential of tokenized assets and stablecoins to enhance capital efficiency in Europe during a recent panel at the WAIB Summit 2026 held in Monaco. They highlighted how the adoption of these technologies could modernize capital markets across the continent.

The discussions revealed that tokenization could streamline settlement processes, improve collateral mobility, and create new avenues for cross-border financial activities. Rafael Mastroberardino, from Franklin Templeton, noted that this development is attracting significant interest from banks and corporations eager to launch their own tokenized offerings.

Further illustrating the growing institutional interest, major US banks like JPMorgan Chase and Bank of America are planning a tokenized deposit network set to launch in the first half of 2027. This initiative aims to retain deposits within regulated banks while incorporating the speed and programmability features of blockchain assets.

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