The recent VI3NNA Congress has unveiled the VI3NNA Declaration 2026, which calls for the establishment of a comprehensive digital asset infrastructure across Europe. This position paper was collaboratively crafted by a diverse group of stakeholders, including industry leaders, regulators, and academic institutions during the inaugural congress held in Vienna last May.
Experts from various sectors including digital assets, blockchain, and artificial intelligence contributed to the document's development. The advisory body featured notable partners like Vienna University of Economics and Business, Modul University, the University of Zurich, Bentley University, and Boston Consulting Group, as well as companies such as Bluecode, BitMEX, TaxBit, and Black Manta Capital Partners.
Why This Matters for Europe
Oliver Schmitt, managing director of VI3NNA Congress, pointed out that the current global financial landscape is undergoing significant transformation. He remarked, “The financial system is being rewritten, and much of it is being built on infrastructure that is not European.” He emphasized the importance of utilizing the existing resources and talent that Europe possesses to foster growth in this sector.
- Global market capitalization of stablecoins exceeds USD 320 billion.
- Transaction volume involving stablecoins reached USD 33 trillion in the past year.
- Less than 1% of that volume involved the euro.
- Tokenized assets are expected to surge to USD 16 trillion by 2030.
Moreover, the declaration highlights a concerning trend: employment within Europe's digital asset sector has plummeted from approximately 100,000 jobs to just around 10,000 within three years, alongside a staggering 70% drop in venture capital investments.
Key Conclusions and Proposed Actions
The VI3NNA Declaration outlines four main conclusions critical to the development of a robust European digital asset framework:
- Tokenization requires post-trade mechanisms for optimal capital efficiency.
- The regulatory framework in Europe is comprehensive yet costly and fragmented.
- Claims of AI adoption in banking often exaggerate the actual benefits.
- Despite having 41 innovation hubs and 14 regulatory sandboxes, Europe remains fragmented.
Jana Faschinger, project manager at VI3NNA Congress, noted that the document candidly reflects the varying opinions within the panel, ensuring a comprehensive discourse on potential paths forward.
In terms of implementation, the Declaration prioritizes twelve measures categorized according to their feasibility. Short-term initiatives include creating a European onboarding portal for compliance, while medium-term goals cover a post-trade settlement sandbox. Long-term aspirations involve establishing a Digital Asset Innovation Corridor and seeking recognition agreements with influential regions like the U.S., the Gulf, and Singapore.
What Lies Ahead
The declaration cites reports from the Draghi and Letta Reports, alongside analyses from the International Monetary Fund, estimating that the proposed measures could unleash between EUR 300 billion and EUR 800 billion in cumulative GDP by 2035, potentially anchoring up to EUR 450 billion of value within European infrastructures.
Disclaimer: This material is for informational purposes only and does not constitute financial advice.
