ECB Unveils Pontes, a Central Bank-Backed Settlement System for Tokenized Assets

The European Central Bank (ECB) has launched Pontes, a new settlement system for wholesale tokenized asset transactions. This is part of the ECB's push into digital finance infrastructure, aiming to make transactions faster and more efficient by integrating issuance, trading, settlement, custody, and servicing on a unified distributed ledger platform.

Pontes will allow financial institutions to settle in central bank money instead of relying on private instruments such as stablecoins. The initial rollout is limited but expected to broaden by 2028. According to Piero Cipollone, ECB Executive Board member, Pontes brings the stability and trust of central bank money to the European tokenized finance ecosystem.

The launch also positions the Eurosystem against the growing use of private settlement assets such as stablecoins in digital markets. Alongside Pontes, the Eurosystem is developing Appia, a complementary initiative exploring an integrated ecosystem for DLT-based financial services, with a blueprint expected by 2028.