ESMA seeks evidence on the use of tokenised collateral in central clearing

The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, has today launched a Call for Evidence on the potential use of tokenised collateral by central counterparties (CCPs). ESMA is inviting all interested stakeholders to submit their contributions by 15 January 2027. 

Tokenisation is moving from testing to real-world use in financial markets, with collateral mobilisation emerging as particularly relevant for central clearing. ESMA is seeking evidence on whether, and under what conditions, tokenised forms of collateral could be used safely and effectively by EU CCPs.

The Call for Evidence focuses on how tokenisation may affect the transfer, management, protection and use of collateral throughout its lifecycle.

Klaus Löber, Chair of ESMA’s CCP Supervisory Committee, said: 

The Call for Evidence examines different tokenisation models, including tokenised versions of assets held in traditional infrastructures ("digital twins") and assets issued directly on distributed ledger technology. It also covers hybrid arrangements and their interaction with tokenised cash and other settlement assets.

ESMA is seeking feedback on how these models would operate throughout the collateral lifecycle, particularly in the event of a clearing member default. This includes whether CCPs could access, transfer and convert tokenised collateral into liquidity when needed, as well as how client protection, segregation and settlement finality could be ensured where distributed ledger technology interacts with traditional market infrastructures. Furthermore, ESMA would like to obtain views from respondents on whether and how tokenisation of already eligible collateral may change the risk profile of the collateral. 

Stakeholders are invited to submit their contributions through ESMA’s consultation webpage by 15 January 2027. Responses will be published following the close of the consultation unless respondents request otherwise.