Eurosystem’s exploratory work on DLT platforms progressing

23 September 2024

The Eurosystem’s work to explore how wholesale financial transactions recorded on distributed ledger technology (DLT) platforms could be settled in central bank money is progressing well.

A total value of €532 million has been successfully settled in more than 50 transactions involving 15 different financial firms and central banks since May 2024. In total, 60 financial firms from nine euro area countries and four central banks are participating in the Eurosystem’s exploratory work.

The trials – transactions including actual settlement in central bank money – have covered nine use cases, with a particular focus on the primary distribution of bonds to investors on a delivery-versus-payment basis. Among other accomplishments, the trials have seen the first euro area sovereign bond issued natively on a distributed ledger. Furthermore, the experiments – conducted with mock settlement – have covered five additional use cases and provided further learning opportunities for the Eurosystem.

Trials and experiments will continue until the end of November 2024. The broad set of use cases using both actual and mock settlement and the involvement of a large number of participants offers a unique opportunity for the Eurosystem to explore how DLT can be leveraged for wholesale central bank money settlement. Findings from the trials and experiments will be published regularly on the ECB’s website.