Degraded peatlands are among the largest land-based sources of greenhouse gas emissions in the European Union (EU). In response, the EU’s climate change mitigation targets are driving efforts to reduce emissions and enhance carbon sequestration within the land-use sector. A significant challenge is the high emissions from organic soils, particularly those degraded by peat extraction and agriculture. This has sparked discussions on appropriate mitigation strategies. Rewetting is gaining attention, and concerns persist that afforestation may hinder rewetting efforts, thereby reducing climate change mitigation potential. However, such concerns often oversimplify both measures. Though many perceive afforestation and rewetting as competing strategies, these measures should ideally and alternately be implemented based on distinct local conditions and goals in different regions. This perspective evaluates their advantages and limitations using evidence from boreal and temperate peatlands. The paper highlights underappreciated, evidence-based arguments to support more nuanced stakeholder discussions and promote complementary, context-appropriate implementation of the measures.