European Central Bank To Invest Own Funds Into Tokenised Securities Market
The ECB is preparing to allocate a portion of its non-monetary policy portfolio to tokenised public sector securities using its new Pontes settlement system.
By Orion Desk
The European Central Bank has initiated work to invest in tokenised securities to build internal expertise in distributed ledger technology. These initial investments will target euro-denominated debt from euro area governments and European supranational institutions as part of a wider effort to modernise financial market infrastructure.
Settlement for these transactions will occur via the newly launched Pontes platform, which allows for the use of central bank money for digital asset trades. Market participants will monitor this development as a sign of the Eurosystem's move towards integrating blockchain-based solutions into its own investment operations and broader financial ecosystems.
Originally published by European Central Bank
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