At its annual Financial System Conference, the Central Bank of Ireland announced that its third Innovation Sandbox Programme will focus on artificial intelligence (AI) for consumer benefit. It also published a feedback statement on its earlier discussion paper on distributed ledger technology (DLT) and tokenisation, setting priorities for further work. Applications for the sandbox, themed “Advancing AI for Consumer Good,” will open in January 2027. Participants will receive structured regulatory advice and support from central bank specialists. In his conference remarks, Governor Gabriel Makhlouf highlighted financial stability risks from stretched valuations linked to AI investment, the scale of debt financing and circular financing arrangements. He also reiterated supervisory expectations outlined earlier in 2026 on governance, strategic alignment and accountability, stressing that humans remain responsible for deploying AI. The tokenisation priorities include work through the Eurosystem on projects such as Pontes and Appia, alongside domestic and European Union efforts to advance legal and regulatory clarity. Cooperation with the Department of Finance will support actions under the Ireland for Finance Strategy – Vision 2030. The bank will also establish a tokenised access point through its Innovation Hub and launch an innovation insights model, with a particular emphasis on tokenisation over the coming months.
Central Bank of Ireland sets consumer AI sandbox theme and publishes tokenisation priorities
The Central Bank of Ireland announced that its third Innovation Sandbox Programme will address AI for consumer benefit, with applications opening in January 2027. A new tokenisation feedback statement prioritises Eurosystem projects, legal and regulatory clarity, and innovation support. Speaking at the bank’s annual Financial System Conference, Governor Gabriel Makhlouf also highlighted financial stability risks from AI investment and reiterated firms’ accountability for AI deployment.