ECB launches Pontes platform to settle blockchain transactions with central bank euros

The European Central Bank (ECB) has launched Pontes, a new settlement service that connects distributed‑ledger‑technology (DLT) platforms with the Eurosystem’s TARGET infrastructure. The service enables participating banks and clearing houses to settle the cash leg of tokenised transactions using central bank euros.

First participants and operating schedule

Deutsche Bank, Santander and Clearstream are among the first institutions to complete onboarding and gain access to Pontes. The platform operates initially from 8 a.m. to 4 p.m. CET on business days, with plans to extend operating hours and add functionality over time.

How Pontes works

Pontes links market DLT platforms to the Eurosystem’s TARGET2 system, keeping legal settlement finality anchored in the existing cash‑settlement framework. Future versions aim to provide settlement finality on an ECB‑operated DLT platform and to introduce smart‑contract capabilities.

ECB’s investment in tokenised securities

Alongside the service launch, the ECB is preparing to allocate a small portion of its €23 billion own‑funds portfolio to highly rated, euro‑denominated debt issued on blockchain. No specific amount has been disclosed, but the allocation is described as a “tiny portion” of the overall portfolio.

Broader tokenisation agenda

The Pontes rollout is part of the ECB’s longer‑term Appia programme, which aims to build an integrated European tokenised financial system. The Eurosystem has also updated its collateral framework to accept marketable securities issued via DLT as eligible collateral for credit operations, subject to existing eligibility and haircut rules.

International context

Other central banks are pursuing similar wholesale tokenisation projects, such as Switzerland’s Project Helvetia and the Bank of England’s Digital Securities Sandbox. Private‑sector initiatives, including Broadridge’s blockchain‑based repo platform, are also expanding the use of DLT for securities settlement.

Next steps

The ECB plans to increase Pontes’ operating hours to 22.5 hours per business day and eventually to 24‑hour availability, with expanded programmability expected from mid‑2028. The service will continue to evolve alongside the ECB’s retail digital euro pilot scheduled for the second half of 2027.