In 2024, the European Central Bank (ECB) invited market participants to test how new technologies like distributed ledger technologies (DLT) would work for central bank money settlement (CeBM). The ECB trials and experiments are aimed at exploring the potential of digital payments targeting a wholesale Central Bank Digital Currency (CBDC).
Together with leading institutions, infrastructures and fintech businesses, Deutsche Börse Group contributes to this transformative endeavour with its Clearstream and Eurex Clearing businesses.
Clearstream joins as a Market DLT Operator with its leading digital post-trade platform D7 and all three of its central securities depositories (CSDs): its German CSD, LuxCSD and the international CSD in Luxembourg.
Eurex Clearing is ensuring that its risk models and methodologies uphold market integrity and safety by offering the basis for future industry standards, particularly for interoperability between DLT platforms and traditional finance, in which financial market infrastructures like central counterparties (CCPs) will play a crucial role.
The use cases Deutsche Börse outlines so far are commercial paper-related as well as intraday repo for €5.1 million: J.P. Morgan was the buyer, DZ Bank was the clearer, Eurex Clearing was the CCP, Eurex Repo provided the trading system and Clearstream’s D7 platform was the Market DLT Operator. Germany’s central bank also participated.