Case Study: Canton Network achieves regulatory-compliant tokenization connectivity and control with Digital Asset

Canton Network enables tokenization with Digital Asset and avoids a 1,250% risk weighting

The Canton Network, a consortium of financial institutions, faced the challenge of adopting tokenization to achieve significant cost savings and settlement efficiency improvements. They required a blockchain solution that offered both broad connectivity across an interoperable network and strict control over key tokenized asset functionalities to meet emerging regulatory standards and avoid punitive capital charges. Digital Asset provided its Canton protocol and Daml smart contract language to address this need.

Digital Asset's solution, the Canton Network, is a public yet permissioned blockchain that functions as an interconnected network of networks. It allows participants to maintain complete control over validation, data visibility, and connections while enabling seamless interoperability. This architecture ensures that tokenized assets retain their traditional capital treatment, avoiding a 1,250% risk weighting, and allows the Canton Network to fully realize the multi-billion dollar efficiency benefits of tokenization.

Canton Network