Digital Asset, in collaboration with a group of prominent financial institutions, has successfully completed an on-chain U.S. Treasury repurchase agreement transaction on the Canton Network. The deal involved USDC as the cash component and tokenized U.S. Treasuries as collateral, marking a milestone in institutional blockchain-based settlement.
The trade was executed over the weekend through Tradeweb and is being presented as a first-of-its-kind achievement in enabling atomic settlement for both sides of a transaction entirely on-chain, within a public-permissioned network designed for institutional use.
As outlined in the announcement, the Treasury securities were held in custody by the Depository Trust Company (DTC), a subsidiary of the Depository Trust & Clearing Corporation (DTCC). These assets were mirrored onto the Canton Network, allowing them to function as freely transferable on-chain collateral. To facilitate the transaction, USDC was natively issued on Canton, enabling instantaneous exchange without reliance on traditional banking hours or Fedwire settlement windows. By executing the transaction on a Saturday, the participants showcased the potential for continuous financing and collateral transfers beyond legacy market operating times.
The initiative brought together a wide range of industry participants, including Bank of America, Citadel Securities, Societe Generale, Virtu Financial, DTCC, Circle, Cumberland DRW, and Tradeweb, among others.
This transaction forms part of the Global Collateral Network initiative, which aims to create an integrated market infrastructure where high-quality liquid assets, such as Treasuries, can circulate continuously under institutional compliance standards. The framework incorporates programmable settlement features designed to support around-the-clock market activity.
Capital Markets leaders just made 24/7 on-chain institutional financing a reality on Canton.
Saturday, July 26, marked a first in enabling real-time, fully on-chain financing of U.S. Treasuries (UST) against USDC, swapped atomically, with the privacy that institutions demand.… pic.twitter.com/b8ZUUMJZS0
— Canton Network (@CantonNetwork) August 12, 2025
While tokenized Treasuries are already available on public blockchains like Ethereum, Polygon, Arbitrum, XRP Ledger, Avalanche, and Stellar, most existing models either settle one side of the transaction off-chain or operate without the direct involvement of major banks and central securities depositories. This Canton Network implementation differs by ensuring both the cash and collateral were tokenized and settled atomically on the same ledger, within a structure tailored to permissioned institutional use and integrated directly with established trading platforms.
The execution was facilitated through Tradeweb’s platform, with the design focused on maintaining confidentiality for participants while demonstrating the transaction’s technical capabilities. According to the announcement, further transactions using this model are planned later in the year, as part of ongoing tests aimed at validating the network’s interoperability and privacy mechanisms.
The Canton Network positions itself as a public, interoperable blockchain with permissioned access for regulated institutions. Its objective is to interconnect various applications and asset classes into a single environment that enables seamless cross-asset settlement. The recent repo transaction is seen as an important step in its broader strategy to integrate traditional financial infrastructure with on-chain settlement systems, paving the way for continuous, global market operations.
