FRANKFURT, Feb. 11 (Xinhua) -- Europe's financial sector is seeking to reduce its dependence on the United States while accelerating digital transformation amid global uncertainties, policymakers and industry leaders said on Wednesday in Germany's financial hub Frankfurt.

They made the remarks at the Frankfurt Digital Finance Conference 2026, which aims to accelerate innovation and advance the digital transformation of Europe's financial industry. The event, scheduled for Feb. 11-12, brought together around 1500 decision-makers from Europe.

In an era defined by power politics and technological transformation, Europe must reduce its dependence on the United States and can no longer afford to act only as a customer, just like in technology, defense and energy, Thomas Book, member of the Executive Board of Deutsche Boerse Group, said in his speech.

"It requires action for decisions on the European level, to realize the potential of our capital market, to serve the economy and the investors," Book stressed.

Echoing Book's comments, Joachim Wuermeling, former member of the Executive Board of the Deutsche Bundesbank, told Xinhua that recent developments involving Greenland and Colombia have highlighted growing unpredictability in U.S. policy, making the issue of reducing dependence on Washington a central topic at the conference.

Wuermeling added that U.S. dollar-backed stablecoins are privately issued currencies that circulate globally via public blockchains. Their widespread adoption reinforces the dominance of the U.S. dollar and creates structural dependencies for users and financial systems worldwide.

For that reason, the expansion of U.S. stablecoins is not merely a financial development but a major geopolitical issue, Wuermeling said.

Digital transformation is also a buzzword at the conference.

Noting that tokenization, blockchain, and artificial intelligence (AI) are shaping the latest phase of capital market digitalisation in Europe, Daniel Maier, CEO of the financial advisory company Chartered Investment Germany, shared with Xinhua his belief that international cooperation in technology can bring about benefits.

"I believe that China and its AI technologies are now leading the way," Maier said, adding that these advances could transform financial markets and asset management by improving decision-making and enhancing product monitoring.

According to the attendees, emerging financial technologies and instruments are evolving rapidly, but they must operate within a proper regulatory framework. Therefore, balancing innovation with effective oversight was also a key topic.

Christoph Pliessnig, founder of Cyprus-registered digital asset firm Teroxx, described Europe as a regulatory frontrunner, but confirmed the existence of challenges, particularly as market demands in a very dynamic environment continue to evolve and firms require regulatory approvals to expand their services.

"Attending the event gives me a feeling for how regulators and other industry leaders move," Pliessnig said.