Canton Network has successfully concluded a pilot for real-world tokenized assets in which 45 banks and large companies simulated the use of different DLT applications (dApps) on said network. The Canton network has been designed to interconnect traditional financial systems and blockchain with a smart contract programming language called Daml.
Big names in traditional finance participated in the pilot, such as BNP Paribas, Visa, BNY Mellon and Goldman Sachs. The pilot of the network, which has been developed by the company Digital Asset, had 155 participants from 45 major organizations. Canton is the network where Goldman Sachs has launched its digital asset tokenization platform.
Digital Asset explains that the execution of more than 350 simulated transactions demonstrates that a network of interoperable applications can be seamlessly connected to enable atomic and secure transactions in multiple parts of the capital markets value chain.
Participants were able to experiment with applications for asset tokenization, fund registration, digital cash, repositories, securities lending, and margin management transactions. The transactions demonstrated that real-time settlement and immediate reconciliation between counterparty systems can be achieved. All this, while complying with regulation, security and data privacy, indicates the company.
The four-day pilot showcased Canton Network’s potential to meet regulatory requirements in the issuance, transfer and settlement of traditional tokenized assets. Companies with blockchain applications in production, such as BNY Mellon, Broadridge, DRW, EquiLend, Goldman Sachs, Oliver Wyman and Paxos, offered their market expertise throughout the program.
Yuval Rooz, CEO and co-founder of Digital Asset, says Canton allows isolated financial systems to connect in ways that were previously impossible, while respecting regulation. Canton has been designed with current and future financial regulations in mind. It also considers the General Data Protection Regulation (GDPR) of the European Union. For example, the right to be forgotten is an issue still unresolved in many blockchains.