ECB to invest in tokenised securities and settle trades on its own rail

The European Central Bank will buy tokenised euro-denominated securities and settle the trades in central bank money via Pontes, its DLT-based system. The size is undisclosed — a "small portion" of the ECB's own funds portfolio — with operational details and timing left to the Executive Board.

• Purchases will come from the ECB's own funds portfolio, not monetary policy
• Settlement will use central bank money via the DLT-based Pontes system
• Planned buys cover debt of euro area governments, agencies and supranationals
• Amount, specific securities and date were not disclosed