<p>This paper explores the hypothesis that the limited effectiveness and low efficiency of the European transnational asset recovery system may contribute to the internationalisation of organised crime. Whilst individual EU Member States demonstrate relative success in recovering illicit assets at the national level, the cross-border judicial framework—primarily governed by Regulation (EU) 2018/1805—shows limited practical application and significant inefficiencies. Data from the European Commission indicate that few confiscation and freezing orders are exchanged or executed between Member States. Insights from the EU-funded RECOVER project, which involves law enforcement agencies, Ministries of Justice, and research centres across ten EU countries, further highlight these shortcomings through data and expert opinions. This paper argues that such deficiencies could serve as an incentive for the internationalisation of organised crime in Europe and potentially beyond. By identifying specific obstacles within the EU’s asset recovery framework, the paper aims to clarify relevant policy implications and propose recommendations to improve the effectiveness and the efficiency of cross-border asset recovery mechanisms within Europe. Similar challenges may exist in other regions as well, given that the effectiveness and efficiency of asset recovery systems are likely amongst the most impactful measures for mitigating organised crime worldwide.</p>