ECB unveils Appia framework for tokenized wholesale settlement
The European Central Bank has launched Appia, a broad strategic initiative to foster tokenized wholesale financial markets across Europe. The framework emphasizes building resilient infrastructure for settlement that is anchored in central bank money, signalling a push to reduce settlement and credit risk as market participants experiment with tokens for institutional flows.
By prioritising central bank money as the settlement anchor, Appia aims to boost trust and interoperability among banks, exchanges and infrastructure providers exploring tokenisation. Market observers say the move could accelerate institutional uptake of token-based instruments and shape how post-trade processes are modernised across European financial markets, while keeping core monetary safeguards in place.