The missing cash leg of tokenization is being built

The tokenization of financial assets is shifting focus toward the critical 'cash leg' required for atomic settlement, as demonstrated by the recent authorization of Qivalis. On October 14, 2026, the Amsterdam-based firm received approval from De Nederlandsche Bank to operate as an Electronic Money Institution, enabling it to issue regulated euro-denominated electronic money tokens. Backed by a consortium of 37 European banks across 15 countries, Qivalis aims to provide a unified settlement asset that eliminates the need for reconciling off-chain payments with on-chain asset transfers. This development aligns with the European Central Bank's 2026 payments strategy, which emphasizes the necessity of digital instruments for wholesale settlement. By integrating the payment leg into the same programmable environment as securities and collateral, institutions can achieve delivery-versus-payment efficiency. While the stablecoin has not yet launched, its planned issuance under MiCA regulations represents a significant step toward reducing fragmentation in European digital finance. This infrastructure is essential for scaling tokenized markets, as it allows private settlement assets to operate alongside potential central bank digital currencies.