The Eurosystem has moved its tokenised-settlement strategy from testing into an operational first phase. Pontes launched on 21 September, connecting market distributed-ledger platforms with Eurosystem services so the cash leg of wholesale tokenised-asset transactions can settle in central bank money.[1][3]
On the same day, the ECB announced preparatory work to invest a small part of its own-funds portfolio in tokenised securities. The two developments are linked by settlement but have different purposes: Pontes is market infrastructure, while the investment exercise is intended to give the ECB experience as an investor across execution, settlement, systems and portfolio management.[2][1]
Three connected but distinct workstreams
Pontes, the own-funds test and Appia
| Workstream | Function | Current status |
|---|---|---|
| Pontes | Settles wholesale tokenised-asset transactions in central bank money by linking DLT platforms with Eurosystem services. | Operational initial phase from 21 September 2026; features and hours expand gradually.Source 1Source 3 |
| ECB own-funds investment | Builds practical investor experience with a small non-monetary-policy portfolio allocation. | Preparatory work; operational details and timing still require Executive Board determination.Source 2 |
| Appia | Develops the longer-term blueprint for an integrated European tokenised-finance ecosystem. | Stakeholder work under way; blueprint targeted for 2028.Source 4Source 5 |
Initial Pontes operating position
| Measure | Value | Context |
|---|---|---|
| Service scope | Core settlement services | Enhanced functions and longer operating hours will be added in stages, with full implementation expected by 2028.Source 1 |
| Early market users | 13 named market participants, four DLT operators and the Bundesbank in market-participant capacity | Additional institutions have committed to connect later.Source 1 |
| Legal framework | Production-grade but interim phase | The Governing Council approved a binding agreement and participant templates while retaining the interim character of the launch.Source 3 |
| Settlement asset | Central bank money | The aim is to give tokenised wholesale markets access to a risk-free cash settlement anchor.Source 1 |
The four initial DLT operators are Axiology, Cashlink, Clearstream and SWIAT. Banks and public-sector institutions have completed onboarding, with more institutions committed to join. Access expands through that participant and platform onboarding process, alongside the gradual addition of features and operating hours.[1]
How the cash leg connects to the token
A transaction is arranged on the market side, with the asset represented on a DLT platform. Pontes supplies the connection needed to settle payment in central bank money. Coordinating asset delivery and payment so that both complete together—or neither does—is the atomic-settlement objective; the legal and technical linkage to each operator determines how the legs are connected.[1][4]
Central bank money anchors the cash-settlement side. The security still has its issuer and market exposure, custody arrangements, legal rights and technology dependencies. Those features remain relevant to the investor even when the payment leg uses a central-bank settlement asset.[1]
The ECB will test the process as an investor
The contemplated own-funds purchases initially cover euro-denominated securities from euro-area central and regional governments, agencies and European supranational institutions. The portfolio helps fund the ECB’s operating expenses, excluding supervisory tasks, and is separate from monetary policy. The exercise will give the ECB experience in execution, settlement, systems and portfolio management.[2]
The Executive Board will determine operational details and timing after the preparatory work, taking account of tokenised issuance and the wider market. The announcement specifies no purchase amount, launch date or security list. Meanwhile, Pontes continues its operational expansion and Appia develops the broader ecosystem blueprint targeted for 2028.[2][1][4]
Sources & further reading
- Eurosystem brings central bank money to tokenised finance European Central Bank · 21 Sep 2026 · Accessed 16 Oct 2026
- ECB to invest part of own funds in tokenised securities, with settlement via Pontes European Central Bank · 21 Sep 2026 · Accessed 16 Oct 2026
- Governing Council decision on the Pontes launch agreement European Central Bank · 2 Oct 2026 · Accessed 16 Oct 2026
- Appia roadmap for Europe’s tokenised financial ecosystem European Central Bank · 11 Mar 2026 · Accessed 16 Oct 2026
- Eurosystem selects members for the Appia contact group European Central Bank · 19 Aug 2026 · Accessed 16 Oct 2026