The Eurosystem has launched the Pontes service, which allows transactions in digital capital markets to be settled using central bank money. This infrastructure connects platforms utilizing distributed ledger technology (DLT) with the existing TARGET Services, which handle euro payments.
Four market infrastructures are participating in the initial launch: Axiology, Clearstream, SWIAT, and Cashlink. Axiology, based in Vilnius, operates a regulated DLT Trading and Settlement System under the EU DLT Pilot Regime, enabling the issuance, trading, and settlement of digital securities.
Axiology holds a pan-European MiFID brokerage license and is one of only four entities in Europe with the DLT Trading and Settlement System designation. The company has been collaborating with the Bundesbank since 2024, including testing the central bank's trigger solution.
The platform supports both euro-denominated stablecoins and central bank money for settlement. While stablecoins offer speed, they carry credit and liquidity risks for high-value transactions, making access to central bank money essential for institutional stability.
Axiology is currently focused on fixed-income instruments and is in discussions with European treasuries regarding sovereign issuance. The company aims to expand its network by attracting more commercial banks from across the European Union to its infrastructure.
