The European Central Bank has published the Eurosystem’s comprehensive payments strategy, setting out a two‑pronged approach to upgrade existing payment infrastructures while catalysing new ones across wholesale, business-to-business, retail and cross-border payments. The strategy is organised around four aims: keeping central bank money as the settlement anchor for monetary policy effectiveness and financial stability, strengthening European strategic autonomy and resilience, fostering an integrated and innovative payments ecosystem, and supporting the international role of the euro. On tokenisation, the Eurosystem plans to develop an integrated European market for tokenised settlement assets, with tokenised central bank money as the foundational settlement layer and a complementary role for private settlement assets such as tokenised deposits and EU-governed, euro-denominated stablecoins that are properly designed and regulated, including under the Markets in Crypto-Assets Regulation and AML/CFT requirements. For wholesale payments, it will continue investing in the T2 real-time gross settlement system, including examining an extension of operating hours, while developing DLT-compatible central bank money through the Pontes and Appia initiatives. For corporate payments, priorities include stronger standardisation, automation and integration with firms’ systems, with a more proactive role envisaged for the Euro Retail Payments Board. In retail payments, the strategy reiterates the digital euro’s role in preserving access to central bank money as payments digitalise amid high reliance on non-European solutions, and continues support for EU-governed, pan-European, market-led point-of-interaction solutions including the European Payments Initiative’s Wero wallet, alongside further development of “classic” SEPA capabilities such as SEPA Request-to-Pay. On cross-border payments, the Eurosystem anchors its actions in the G20 roadmap and highlights work via TIPS to interlink fast payment systems, operate a cross-currency settlement service, and pursue connections with India’s Unified Payments Interface and a multilateral network through BIS Project Nexus. The strategy foresees active monitoring and adaptation as technology and regulation evolve. Key stated milestones include delivery of a Pontes central bank money settlement solution by the end of the third quarter of 2026 and, for the digital euro, readiness to issue in 2029 subject to co-legislators adopting the digital euro regulation in 2026, with a pilot exercise and initial transactions potentially from mid-2027.
European Central Bank 2026-03-31
European Central Bank publishes comprehensive payments strategy covering tokenised settlement assets, T2 enhancements and the digital euro
The European Central Bank has outlined a Eurosystem payments strategy combining upgrades to existing infrastructures with new solutions across wholesale, corporate, retail and cross-border payments, anchored in central bank money to strengthen European autonomy, innovation and the euro’s international role. Key elements include an integrated market for tokenised settlement assets with tokenised central bank money, continued investment in T2 and DLT-compatible money via Pontes and Appia, enhanced digital euro and EU-governed wallets, and cross-border initiatives using TIPS and BIS Project Nexus. Pontes is due by end-Q3 2026 and digital euro issuance readiness in 2029, subject to regulation.