ESMA seeks evidence on tokenised collateral in EU clearing
The EU markets regulator has opened a call for evidence on whether clearinghouses can access and cash out tokenised collateral during market stress.
Why it matters: ESMA's review will shape whether EU clearinghouses can rely on tokenised collateral, a market banks and investors are already using for margin.
Key points
- ESMA published its call for evidence on Friday, covering legal, liquidity and operational risks of tokenised collateral.
- Chair Verena Ross said tokenised markets need legal certainty, interoperable infrastructures and appropriate supervision.
- Eurex Clearing launched a distributed ledger collateral service in July 2025, with JPMorgan executing the first live transaction for PGGM.
The European Securities and Markets Authority has opened a call for evidence on tokenised collateral, seeking proof that clearinghouses can access such assets and convert them into cash when markets come under stress. The EU regulator published the request on Friday, saying it wants industry feedback on the legal, liquidity and operational risks before deciding whether further rules are needed.
The review will help establish whether existing EU rules let clearinghouses access and liquidate tokenised collateral when a member defaults.
What to watch: ESMA is collecting industry feedback through the call for evidence before deciding whether additional EU regulatory measures are necessary.
Live updates on NewsFeeds:RegulationDesk editor: Keshav Aggarwal (accountable for this page; this summary was not edited by hand)
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