A long-term strategy for developing tokenized wholesale financial markets in Europe was published, based on settlements in European Central Bank digital assets and distributed ledger technology (DLT).
The Eurosystem unveiled the roadmap for its long-term strategic initiative, Appia, aimed at creating a European ecosystem of tokenized financial markets, with a central role for wholesale central bank digital currency (wCBDC). The completion of the target model is planned for 2028.
The authors of the document deliberately avoid using the term wCBDC, instead using the phrase “tokenized wholesale central bank money,” though in essence, it refers to wCBDC.
According to the presented plan, under Appia, work will focus on creating an integrated, resilient, and innovative infrastructure for wholesale financial operations based on distributed ledger technology. Central bank money will remain the core element within the emerging ecosystem.
Piero Cipollone, Member of the European Central Bank’s Executive Board, noted that Appia is intended to become a “road from today’s financial system to tomorrow’s tokenized markets,” relying on central bank money settlements.
Tokenization involves issuing or representing assets as digital tokens on distributed ledgers. In the wholesale market segment, this model allows key stages of an asset’s lifecycle (issuance, trading, settlement, custody, and servicing) to be combined on a single platform. Additionally, programmable contracts create opportunities for automation and the development of new financial instruments.
The Eurosystem’s strategy for enabling tokenized settlements in central bank money is built on two complementary projects, Pontes and Appia. The Pontes solution, designed for DLT-based central bank money settlements, is planned for launch in Q3 2026. In contrast, Appia has a broader and longer-term scope, involving close collaboration with the market to design the architecture of the future ecosystem.
By 2028, the Eurosystem aims to present a detailed operational plan for tokenized wholesale financial markets, a kind of architectural model. Until then, Appia’s work will influence both the development of market infrastructure and the gradual enhancement of the Pontes solution.
Special attention is given to maintaining the role of central bank money as the anchor of the monetary system during digital transformation. According to the regulator, using a digital euro (CBDC) will ensure effective monetary policy, financial stability, uninterrupted payment system operations, and strengthen the EU’s financial sovereignty.
Appia also aims to reduce fragmentation in the European financial market, lower barriers for new participants, and enhance competition. The project will analyze various DLT-based infrastructure configurations, from a single common network to multiple interconnected networks. Priority will be given to implementing unified standards and a pan-European governance system.
The initiative is being developed with participation from financial market representatives, public authorities, and academia. Alongside the roadmap publication, the Eurosystem released a questionnaire to gather proposals and applications for further analytical and practical work.
The Appia project continues experimental research on new technologies for central bank money settlements started in 2024, translating them into a long-term strategy for European financial infrastructure development.
Since the start of these studies, the European Central Bank has involved several major European financial institutions. For example, BNP Paribas facilitated the issuance by the European Investment Bank of three-year tokenized eurobonds totaling €100 million on the HSBC Orion platform.
