Pontes (Latin: bridges) is the name of a pilot project of the Eurosystem that enables the settlement of large customer financial transactions in central bank money using distributed ledger technology (DLT). The aim is to build a bridge between modern market platforms and the existing TARGET services in order to strengthen interoperability in European payments.
How does PONTES work?
The solution offers a dual settlement model in which transactions can be finalized either via Cash-Tokens on a Eurosystem-owned DLT or directly in the T2-System. A central element is the hash-link Protocol, which ensures the secure synchronization of payments and assets according to the principle of “delivery versus payment.” 
The architecture of the solution
• T2 Interface: This component is the only access point to the TARGET-Services through the existing Eurosystem Market Infrastructure Gateway (ESMIG). It includes a so-called ‘Trigger Backend,’ which controls the automated funding and defunding of tokenized liquidity as well as the direct settlement in the T2-RTGS system. For this purpose, technical intermediate accounts and token issuance accounts are used, which are legally under the ECB.
• Eurosystem DLT-Platform (ESY DLT): This is a “permissioned” Blockchain-Infrastructure that manages the cash leg of transactions. It consists of nodes operated by the national central banks, as well as an issuer node of the ECB for the issuance of cash tokens.
• Extended Interoperability Interface (EII): This is the only access point for market participants to the Eurosystem DLT, available via a programming interface (API) and a graphical user interface (GUI). It forwards requests to the correct node.
What benefit arises?
PONTES is intended to function like a universal adapter, connecting state-of-the-art digital marketplaces (market DLTs) to the Eurosystem. All participants benefit:
• It benefits the traders (banks) because they trade on the new digital markets and can use their connection to the Eurosystem while doing so.
• It benefits the DLT operators because they can offer their customers a transparent process guaranteed by the ECB.
• It benefits the Eurosystem because the euro gains importance as a currency through participation in the DLT market.
Schedule
The project was preceded by an exploration phase, which took place between May and November 2024 and confirmed the market demand for DLT settlement in central bank money. The pilot will start in Q3 2026 as a “Short-Term-Track,” complemented by long-term Appia developments. Market participants such as the French and Slovenian treasuries are already on board
PONTES is the first part of the ‘Two-track approach’. It serves as a short-term offering (‘Track 1’) to quickly provide a market solution. In parallel, work is being done on ‘Appia’ as a potential long-term solution (‘Track 2’).
In this short YouTube video, the project is also presented: PONTES
If you, as a financial company, need technical support in implementing a PONTES project, we look forward to your
contact.
