The Depository Trust and Clearing Corporation (DTCC), the backbone of U.S. securities clearing and settlement, said on Wednesday it will begin issuing tokenized versions of some United States Treasury securities held at its Depository Trust Company unit on the Canton Network, in its first move to bring traditional assets from its core infrastructure onto a blockchain platform.
According to a press release from DTCC, the project is being developed with Digital Asset Holdings and the Canton Network and follows a recent “No-Action” Letter from the United States Securities and Exchange Commission that permits DTC to operate a tokenization service for real-world assets within defined regulatory parameters.
In the first half of 2026, DTCC plans to launch an initial minimum viable product (MVP) in a controlled production setting, using its ComposerX technology platforms to mint and manage a limited set of Treasuries held at DTC as digital representations on the Canton Network.
Frank La Salla, DTCC chief executive, said the partnership is intended to build market infrastructure that connects established securities infrastructure with new distributed ledger systems while preserving scale and resilience. He said the work is meant to pave the way for practical tokenization use cases, starting with treasuries and then moving to other instruments eligible for DTC services.
Yuval Rooz, co-founder and chief executive of Digital Asset, said the initiative is aimed at creating interoperable financial networks that can support new products and liquidity channels while remaining aligned with existing regulatory obligations.
DTCC said tokenized securities could cut operational frictions for large dealers, hedge funds, and other market participants by simplifying collateral movements, reducing processing risk, and improving capital usage, which in turn may support balance sheet efficiency.
As part of the arrangement, DTCC will take a leadership role in the Canton Network governance framework and will serve as co-chair of the Canton Foundation alongside Euroclear, giving it a direct say in setting standards for the shared infrastructure.
The decision follows a recent green light from the Securities and Exchange Commission, which allows DTCC to offer a tokenization service for a defined set of liquid assets, including major stock indices, exchange-traded funds, and Treasury securities, on approved blockchains.
Why This Matters and What Comes Next
By tokenizing Treasuries, DTCC is exploring whether settlement, collateral movement, and record keeping can run on shared ledgers that are faster, more transparent, and always available.
If successful, this could reduce operational risk, cut reconciliation work, and free up capital for banks, brokers, and funds. Over time, this approach could help create new ways to manage money, like using token-based collateral pools and on-chain repos, while still following current regulations.
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