The European Union's efforts to amend the AI Act have hit a roadblock as negotiations between EU countries and lawmakers failed to reach a consensus on April 29, 2026. The discussions, which lasted 12 hours, were part of the Digital Omnibus initiative aimed at easing rules for businesses. However, disagreements over exemptions for sectors under existing product safety rules and the balance of AI risk safeguards led to a stalemate. This delay in reaching an agreement prolongs regulatory uncertainty for AI integration in the crypto sector across Europe. The high-risk AI obligations are still set to take effect in August 2026, affecting developers of on-chain AI agents and other crypto-related AI technologies. The EU's struggle to finalize these amendments comes amid a backdrop of limited AI investment compared to global counterparts, potentially hindering innovation and competitiveness in the region.