An asset can trade on a blockchain long after a bank’s settlement system closes. Paying for it in money both sides can trust is harder. September brought several attempts to close that gap.
On September 21, the Eurosystem launched Pontes, allowing tokenized wholesale assets to settle in central bank money. A group of 21 financial institutions advanced plans for a dollar stablecoin. The U.S. regulator opened a route for tokenized stocks, and two major exchanges deepened ties with Kraken’s parent company, Payward. Together, they exposed the contest over who will build the infrastructure of tokenized finance.
Why tokenized finance needs a cash leg
A bond recorded on a distributed ledger cannot settle safely merely because its ownership moves quickly. The buyer’s payment must move with it. Pontes connects market DLT platforms with the Eurosystem’s TARGET services. Participants can use a cash-token route on a Eurosystem platform or settle through T2. In either case, legal finality for the cash leg is achieved when the corresponding transaction completes in T2. A token changing hands does not, by itself, complete settlement.
The ECB is also preparing to invest a small portion of its own funds in tokenized securities, starting with euro-denominated public-sector and supranational issues. It has not set a purchase date. The plan would make the central bank a user of the infrastructure it built.
Pontes starts with limited services. Longer operating hours and other features are planned through 2028. For tokenized finance to support assets that circulate around the clock, the payment system, legal settlement and operational support will need compatible schedules.
Banks build their own payment routes
A consortium of 21 institutions, including Bank of America, Santander, Deutsche Bank, BBVA and Fidelity Investments, plans a dollar stablecoin for the first half of 2027. A euro version is a longer-term priority. The launch remains a target.
Such projects promise clients a familiar issuer and money that can move across blockchain networks. They could also reproduce old divisions in new software. If competing bank networks cannot exchange value easily, users may face several isolated pools of liquidity.
Europe’s central banks have proposed changing how stablecoin reserves are regulated. In their response to the MiCA review, they suggested replacing fixed minimum shares held as bank deposits with requirements tied to the maturity of reserve assets. They also sought clearer rules for tokenized bank deposits. Neither proposal is law; both could influence the cost and design of private digital money in Europe.
A U.S. rule arrives without a new law
On September 15, the U.S. Senate voted 49 to 50 against advancing the CLARITY Act. Two days later, the Securities and Exchange Commission issued a narrower, temporary exemption for trading eligible tokenized U.S. stocks through permissioned automated market makers and liquidity pools.
Under the SEC order, eligible tokens must give holders rights equivalent to those of the underlying stock. An issuer must receive notice and a chance to object when an unaffiliated third party tokenizes its shares. The exemption is conditional, carries limits on symbols and volume, and expires after five years. It creates room for experimentation within securities oversight while broader legislation remains unresolved.
Nasdaq’s planned $100 million investment in Payward shows where exchange operators see an opportunity. The companies are developing Nasdaq Equity Tokens for an expected 2027 launch, while Payward plans to adopt Nasdaq’s market surveillance technology. Crypto distribution and established exchange controls are being built into the same project.
What does a stock token actually own?
The London Stock Exchange is also working with Payward. It is assessing tokenized UK equity structures and a role for its digital securities depository in settlement and asset servicing. Subject to regulatory approval, it intends to list and trade Payward’s xStocks on LSE 24 in 2027.
Coinbase offers another model on Base. It describes its stock token as a beneficial claim backed by a real share, issued through an Abu Dhabi entity and unavailable to U.S. persons. The Apple product’s prospectus identifies the instrument as a certificate over shares. Voting rights depend on the holder meeting conditions set out there; dividends are reflected in an adjusted share-equivalent value. A token, a contractual claim and direct registered ownership cannot be treated as interchangeable.
Even the digital euro belongs to a different timetable: its planned 2027 pilot is recruiting online merchants for controlled retail tests, separate from Pontes’s wholesale service. Longer trading hours will be useful only if payment, custody and legal rights remain coherent across networks. That is the work now facing tokenized finance.
Bitcoin, Fiat & Rock’n’Roll Website
Bitcoin, Fiat & Rock’n’Roll Telegram Channel
Knowledge Bite Michael: Paper of Bindseil et al. “The Multi-Issuance Issue“
Knowledge Bite Anne-Sophie: Agentic payments: when payments learn to think;
Monthly Report – September 2026
Knowledge Bite Manuel: DB flow article: Interview with Thomas Vlassopoulos, Director General Market Infrastructure and Payments at the European Central Bank (ECB): “Europe has a window of opportunity – but it will not be open forever”
Value4Value Podcast Streaming: Support our podcast by listening to our episodes on the Fountain Podcast App. This way, if you wish, you can support us „Value4Value“ while listening to the podcast. You can find us on the Fountain Podcast App here: Click here
Disclaimer: The content of this podcast reflects the private opinions of the hosts, serves exclusively for general information purposes and does not constitute investment advice. Always remember: Do your own research—inform yourself before making any investment decisions, such as buying Bitcoin. First try to understand what Bitcoin is and how to store it. This podcast does not provide financial advice. Note that the co-hosts might be invested in crypto assets. Read more on our website: Click here
All links marked with „*“ are affiliate links. If you use these links for purchase, the podcast receives a small share of the revenue without any additional costs to you. On the contrary, affiliate links often include discount promotions, so you can even save money. We would appreciate it if you use these links to support us. Thank you very much!