ECB approval of its plan to allow for the settlement of DLT transactions with central bank money, 1 July 2025

On the 1^st of July 2025, the European Central Bank’s Governing Council approved a plan to allow DLT transactions to be settled with central bank money. The initiative consists of a short-term track (‘Pontes’), which will provide a Eurosystem DLT-based solution linking DLT platforms and TARGET Services, and a long-term one (‘Appia’), which focuses on a solution for an innovative and integrated ecosystem in Europe that also encourages safe and efficient operations globally. The Eurosystem plans to launch a pilot for ‘Pontes’ by the end of Q3 2026. The Eurosystem will also establish dedicated market contact groups for the two tracks, and will soon publish a call for expressions of interest in participating in the ‘Pontes’ contact group.