Eurosystem launches Pontes for central bank money settlement of tokenised assets

The Eurosystem launched Pontes on 21 September 2026, enabling wholesale market participants to settle transactions in tokenised assets in central bank money. The launch is the first operational step in the Eurosystem's programme for bringing central bank money to tokenised financial markets. Banks and market infrastructures will join gradually. The Pontes launch announcement

What does Pontes do?

Tokenisation means issuing or representing an asset as a digital token, typically recorded on a distributed ledger technology, or DLT, network. The technology could bring together stages of an asset's lifecycle, from issuance and trading to settlement, custody and subsequent services, and automate some processes through smart contracts. The ECB says this could make wholesale transactions faster and more efficient and enable new solutions through smart contracts. Pontes connects market DLT platforms to the Eurosystem's TARGET Services so that the cash side of these transactions can settle in central bank money. The programme is intended to prepare central bank money for tokenised markets and support the development of their financial infrastructure. The ECB announcement, The connection to TARGET Services

The Eurosystem had previously tested central bank money settlement for DLT-based transactions in 2024. Public and private participants in that work considered access to a risk-free settlement asset important for broader adoption. Here, the term refers to the settlement asset, central bank money; assessing the risks of the tokenised security or asset itself is a separate matter. The tests and the basis for Pontes

A limited start and gradual expansion

At launch, an initial group of banks, financial institutions and DLT operators had completed onboarding and was ready to use Pontes immediately. The announced list included institutions such as Deutsche Bank, Santander, Société Générale, the European Investment Bank and KfW, and operators including Axiology, Cashlink, Clearstream and SWIAT. Deutsche Bundesbank had also joined in a market participant capacity. Other participants had committed to connecting in the following months. The official participant list

Pontes initially offers a core set of services. Under the announced plan, additional features and longer operating hours will be introduced gradually, with full implementation expected in 2028. Further development is intended to reflect changing market needs and technological advances. The launch announcement

There is a concrete testing history behind this programme. In its 4 December 2024 announcement, the Eurosystem reported processing more than 200 transactions worth EUR 1.59 billion between May and November that year. 64 participants, comprising central banks, financial-market participants and DLT operators, completed more than 40 trials and experiments. Trials involved actual settlement in central bank money, while experiments used mock settlement. The completion of the 2024 tests

The December 2024 announcement also set out the next step: analyse the opportunities and challenges revealed by the tests, including how to facilitate central bank money settlement for wholesale asset transactions on DLT platforms, invite participants to discuss the lessons in January 2025, and use that analysis to inform subsequent decisions. The follow-up announced in December 2024

The ECB prepares for practical investment experience

In a separate announcement on the same day, the ECB said it had begun preparatory work to invest a small part of its own funds in tokenised securities. This comes as tokenised financial markets continue to develop alongside new DLT-based market infrastructures. The aim is to gain practical experience across the investment lifecycle, from trade execution and settlement to systems and portfolio management, and to build institutional knowledge of DLT applications. Transactions under the programme are intended to settle through Pontes. The tokenised securities investment announcement

The ECB's own funds portfolio is a non-monetary policy portfolio. Its income helps fund operating expenses, excluding those associated with supervisory tasks. Initial investment is intended to focus on euro-denominated securities issued by euro area central and regional governments, public agencies and European supranational institutions. After the preparatory work is complete, the ECB's Executive Board will determine operational details and timing, considering developments in tokenised issuance and Europe's wider tokenised financial markets. The ECB's programme

Pontes within the Appia programme

Pontes sits alongside Appia, through which the Eurosystem, Danmarks Nationalbank and public and private participants are exploring an integrated ecosystem for DLT-based financial services through experimentation and analytical work. The stated target for delivering its blueprint is also 2028. The 19 August announcement scheduled the Appia contact group, comprising 61 selected financial-market stakeholders and public-sector institutions, to begin work in September 2026 and contribute to Pontes development and the longer-term design. Pontes and Appia, The Appia contact group

The two initiatives began in 2025; that programme milestone is distinct from Pontes becoming operational in September 2026. The contact group was selected following a call issued on 1 June 2026. Its remit includes user requirements, risk management and the handling of platform changes and releases, as well as contributing to the Appia roadmap. It takes over the work of two discontinued groups: the Pontes market contact group and the New Technologies for Wholesale settlement Contact Group. The Eurosystem said it would publish meeting summaries and relevant documentation. Appia's stated aims include European strategic autonomy and an integrated, competitive payments and securities ecosystem, with the Eurosystem supporting that development through efficient infrastructure and market standards. The contact group's remit and programme history

For financial markets, this work concerns reliable settlement alongside tokenised infrastructures and practical experience of how they operate. Gradual implementation, participant onboarding and real-world tests are parts of that development path. The official Eurosystem programme