ESMA has launched a call for evidence on whether, and under what conditions, EU central counterparties could safely use tokenised forms of collateral. It examines several models, including digital twins of assets held in traditional infrastructure, assets issued directly on distributed ledger technology and hybrid arrangements. It puts particular weight on what happens if a clearing member defaults, client protection, segregation and settlement finality. Responses are due by 15 January 2027.

What it means: Central clearing is one of the most sensitive parts of the financial system: when a member defaults, the central counterparty must be able to turn its collateral into cash quickly. ESMA is examining whether tokenised assets, such as bonds or fund units on a blockchain, can play that role without creating new risks. The fact that the European supervisor is now asking the market systematically shows tokenisation moving from pilots into real operation. If tokenised collateral is accepted, funds could be mobilised faster and outside the operating hours of traditional systems. For Greece, the work concerns banks and investment firms that are clearing members, as well as the Athens Stock Exchange group, which runs its own central counterparty. It also matters to technology firms building tokenisation solutions, because the future rulebook will decide which models are acceptable. Greek participants with relevant experience have a chance to shape the rules by responding to the consultation. ESMA will assess the responses in the first quarter of 2027. Firms planning tokenisation products for institutional clients should align their legal structure with the questions ESMA raises, especially on default management and segregation.

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