[ESMA Seeks Feedback on the Use of Tokenized Collateral by Central Clearing Counterparties] The European Securities and Markets Authority (ESMA) has published a consultation paper seeking opinions on whether and under what conditions EU Central Counterparties (CCPs) can safely and effectively use tokenized collateral. The consultation covers traditional asset 'digital twins,' on-chain native issued assets, and hybrid models, with a focus on issues such as the liquidation capability of tokenized collateral during clearing member defaults, client asset segregation, and settlement finality. The consultation is open until January 15, 2027, and ESMA will evaluate the feedback in the first quarter of 2027 to decide on the next steps.