The European Union (EU) faces a critical juncture in its financial support for Ukraine, with the bloc’s most viable funding mechanism hinging on the seizure of billions of dollars in frozen Russian assets. This approach has gained urgency as U.S. President Donald Trump’s 28-point peace plan proposed a $100 billion investment scheme for Ukraine’s reconstruction, financed by Russian assets matched by an equal contribution from the EU. The plan, which surprised European leaders, has sparked intense debate over the fate of Russia’s frozen fortune and its role in maintaining pressure on Moscow while bolstering Ukraine’s defense. European Commission President Ursula von der Leyen emphasized that European taxpayers alone cannot bear the financial burden, as the EU has already provided nearly $197 billion in aid since Russia’s invasion of Ukraine. The bloc is now exploring options to utilize $225 billion in Russian assets frozen at Euroclear, a Brussels-based financial institution, to cover Ukraine’s estimated $153 billion budget and military needs for 2026 and 2027. However, Trump’s proposal has raised concerns in Europe, with analysts viewing it as an attempt to secure a quick deal that benefits the U.S. at the EU’s expense. Despite initial skepticism, some European policymakers suggest that accepting the U.S. proposal might be necessary for a broader peace agreement. Meanwhile, Belgium’s reluctance to approve the use of Russian assets as collateral due to fears of Russian retaliation has added complexity to the issue. With the clock ticking, EU leaders are set to convene in Brussels on December 18 to finalize their stance on seizing Russian assets, a move that could send a strong message to Moscow and secure Ukraine’s financial future.