ECB launches Pontes blockchain settlement alongside digital euro merchant call

The European Central Bank has invited online and mobile-commerce merchants across the euro area to apply for a 12-month pilot of the digital euro, marking a new phase in the Eurosystem's preparations for a potential central bank digital currency. The call for expressions of interest, published on September 15, gives merchants until October 27 to apply for a program set to begin in the second half of 2027.ecb.europa+2

Merchants to Test Beta Digital Euro

The pilot will use a beta version of the digital euro that is designed to be technically and functionally close to the system described in draft EU legislation, though it will not carry legal tender status. Selected merchants will assess customer payment journeys, explore how the digital euro could integrate into existing checkout systems, and provide feedback on the merchant experience and technical requirements.thepaypers+2

Participants will include staff from the ECB and 19 national central banks, 36 payment service providers selected in July 2026 — among them Deutsche Bank ↘ 4.34%, UniCredit, Revolut, and Stripe — and the newly recruited merchants. Transactions will cover remote e-commerce settings as well as everyday environments such as cafeterias and restaurants at central bank premises.ecb.europa+3

An information session is scheduled for October 6, and applications must be submitted by 17:00 CET on October 27. Participation is voluntary and unpaid.ecb.europa+2

Part of a Broader Push

The merchant call arrives alongside two other ECB initiatives launched on the same day. On Monday, September 21, the Eurosystem launched Pontes, a settlement service that connects distributed-ledger technology platforms with the Eurosystem's TARGET Services, enabling wholesale tokenized asset transactions to settle in central bank money. The ECB also announced it would invest a small portion of its own funds in tokenized securities, with settlement via Pontes, to build institutional expertise in DLT-based finance.ecb.europa+1

A third project, Appia, is working toward a blueprint for a unified European market for tokenized assets by 2028. Together, the three efforts represent a coordinated response to the dominance of dollar-denominated stablecoins, which exceed $300 billion in circulation compared with less than $700 million for euro-compliant alternatives under the EU's MiCA framework.weex

Legislation Remains the Key Variable

Any decision to issue the digital euro remains contingent on the adoption of the EU's digital euro regulation. The ECB has said it aims to be ready for a potential first issuance during 2029, assuming the regulation is adopted in 2026. Until then, the preparatory work — from merchant pilots to wholesale settlement infrastructure — will continue to evolve alongside the legislative process.ecb.europa+1