ESMA Launches Call for Evidence on Tokenised Collateral in Central Clearing

The European Securities and Markets Authority (ESMA), the European Union's financial markets regulator and supervisor, has issued a call for evidence examining the use of tokenised collateral in central clearing operations. The regulatory initiative is aimed at evaluating how central counterparties (CCPs) and market participants may integrate tokenised assets into post-trade environments. As financial markets increasingly explore distributed ledger technology and digital assets, the potential adoption of tokenised collateral raises important questions regarding operational resilience, legal certainty, and risk management. Through this process, ESMA seeks feedback from market participants, clearing houses, and relevant stakeholders to assess the opportunities, risks, and necessary regulatory considerations surrounding the implementation of tokenised financial instruments as collateral in cleared markets.