International banks are involved in blockchain testing

Major financial institutions, including Goldman Sachs, BNY Mellon and Cboe Global Markets, have completed large-scale trials using blockchain technology.

According to a March 12 Bloomberg report, institutional investors have executed more than 350 virtual transactions on the Caton network, launched in May 2023, in areas such as tokenized assets, fund registry, digital money, repo, collateralized lending and margin management using distributed ledger technology. By startup Digital Asset Holdings. The pilot included 15 asset managers, 13 banks, four custodians, three exchanges and stablecoin issuer Paxos Trust.

Canton Network's statement on the day revealed that 155 participants from 45 major organizations were connected to the registry through 22 permissioned blockchains. The organization said:

“Over the course of four days, participants were invited to test 22 dApps that included five fund registries, five cash registries, three bond registries, three transactions, four margin and two financing apps. On Apps.”

The Canton Network is a privacy-enabled interactive blockchain network designed for institutional investors. In part, blockchain allows financial institutions to move controlled assets, data and cash between each other in real time.

“With the Canton network, digital bonds and digital payments in two separate applications can be integrated into a single atomic transaction, guaranteeing simultaneous transactions without operational risk,” Canton said in a press release. He added, “Similarly, a digital asset can be used in financial transactions linked to a repo or loan application.”

Current Canton network participants include Deloitte, Deutsche Börse, Microsoft, Moody's and S&P Global.

Over the past year, tokenization has received significant interest from institutional investors and celebrities. In the year On February 7, Hong Kong-based Swiss International Bank UBS traded Chinese smartphone giant Xiaomi's stock as an option call order on Ethereum with local crypto exchange OSL. A few weeks later, Argentine soccer legend Lionel Messi announced the launch of a tokenized product in partnership with Join The Planet, the local non-profit organization behind the PLANET token.

Related: Insurance, Agriculture, Real Estate: How Asset Tokens Are Shaping The Current Landscape