On September 21, the European Central Bank (ECB) introduced the Pontes payment system designed for blockchain settlements, as reported by Reuters.
The project’s official website notes that the Eurosystem’s solution "connects market platforms based on distributed ledger technology with TARGET services for wholesale payment transactions."
How the Pontes system operates. Source: ECB.Pontes enables banks and investors to conduct transactions using tokenized euros, which are backed by reserves held by the ECB.
A limited group of participants, including Deutsche Bank, Santander, and Clearstream, has joined the initial launch. The platform will operate on weekdays from 8:00 AM to 4:00 PM (UTC+1). A full release with expanded features is anticipated in 2027.
Pontes roadmap. Source: ECB.ECB officials expect that Pontes will expedite and streamline transactions by "integrating multiple stages of an asset's lifecycle and automating processes."
Additionally, the ECB announced plans to invest some of its own funds into blockchain-based securities, specifically high-rated debt instruments denominated in euros that are issued by governmental entities.
According to Reuters, similar blockchain initiatives are being developed by other central banks. The Swiss National Bank is implementing Project Helvetia for securities settlements, while the Bank of England is testing blockchain applications within its Digital Securities Sandbox.
It is also worth noting that on September 15, the ECB opened applications for electronic and mobile commerce companies operating in the eurozone to participate in the digital euro pilot program.