ECB Launches Pontes to Settle Tokenized Assets Without Stablecoins

What happened

The European Central Bank (ECB) launched Pontes, a new system that allows financial institutions to settle wholesale tokenized asset transactions using central bank money instead of private assets like stablecoins.

The ECB announced the launch on Monday, September 21, 2026, as part of the Eurosystem's broader strategy for tokenized finance.

Key points

• Pontes initially offers a core set of services, with full implementation expected by 2028.
• More participants are expected to join over time.
• The system builds on Eurosystem tests conducted in 2024 of settling DLT-based transactions in central bank money.
• The Eurosystem is also developing a complementary initiative called Appia, with a blueprint expected by 2028.

What the ECB says

ECB Executive Board member Piero Cipollone stated: "Pontes brings the stability and trust of central bank money to the European tokenised finance ecosystem. It will give an important advantage to help it scale."

The ECB said participants in earlier tests identified access to a risk-free settlement asset as crucial for wider adoption of tokenized finance.

Why it matters

Tokenization represents assets as digital tokens, typically on distributed ledger technology (DLT) networks. The ECB says this approach could make wholesale transactions faster and more efficient by combining issuance, trading, settlement, custody, and servicing on a single platform while enabling automation through smart contracts.

Pontes provides an alternative to private settlement assets such as stablecoins, which are commonly used in crypto markets but carry different risk profiles than central bank money.

What is still unclear

The source does not specify which financial institutions will participate initially or provide details on the specific services offered at launch beyond a "core set."

Sources

• Cointelegraph