ESMA to prioritize EU-wide AI and tokenization oversight in 2027

The European Securities and Markets Authority (ESMA) will focus its next EUwide supervisory priority on artificial intelligence and tokenization starting in 2027. National regulators across the bloc will map where these technologies are being used, review how firms apply them in investorfacing products and processes, and check a selection of companies more closely. ESMA said the goal is to help supervisors build expertise and align oversight as financial firms expand their use of AI and tokenized products. The agency highlighted potential risks such as misleading AI outputs, complex products that investors may not fully understand, and dependence on a small number of thirdparty providers.