Canton Coin (CAN) has seen a remarkable surge of approximately 27% in just a week, significantly outperforming the wider cryptocurrency market. This impressive rally is attributed to a landmark announcement from the Depository Trust & Clearing Corporation (DTCC), which unveiled plans to tokenize US Treasury securities through its subsidiary, the Depository Trust Company, on the Canton Network.
The Canton Network and DTCC’s Tokenization Blueprint
The DTCC, a critical entity in the post-trade infrastructure of the US securities markets, oversees the processing of trillions of dollars in securities transactions annually. The recent announcement signifies a strategic move towards tokenizing US Treasuries, heralding a broader initiative to integrate real-world assets (RWAs) onto blockchain platforms.
Frank La Salla, the CEO of DTCC, highlighted that this partnership will serve as a foundational step toward creating a roadmap for the tokenization of high-value assets, with US Treasuries leading the charge. As this initiative unfolds, it is anticipated to extend its reach to other eligible assets registered with the DTC.
The Canton Network is envisioned as a hybrid blockchain specifically designed to accommodate regulated financial institutions engaged in handling tokenized RWAs. As the native token of the network, Canton Coin is poised to facilitate transactions and support overall operations, making it a vital player in this evolving ecosystem.
Why Tokenization of US Treasuries Matters
Tokenization is the process of converting traditional assets into digital tokens on a blockchain, and it is becoming increasingly pivotal within the financial sector. Recent data from RWA.xyz indicates a robust growth trajectory, with the market value of tokenized real-world assets skyrocketing from $5.6 billion at the close of 2024 to nearly $19 billion today. Notably, US Treasuries have emerged as a key component driving this growth, now representing approximately $9 billion in tokenized debt, a significant increase from $3.9 billion at the beginning of 2025.
The advantages of tokenizing US Treasuries are multifold, offering reduced transaction costs, accelerated settlement times, and the flexibility to trade these assets round-the-clock. Furthermore, it enhances access to global markets and boosts liquidity for traditional financial instruments.
Institutional Investors Embrace Tokenization
Growing enthusiasm from institutional investors surrounding tokenized RWAs is evidenced by the involvement of prominent financial firms such as BlackRock, Franklin Templeton, and Ondo Finance. For instance, BlackRock has introduced the USD Institutional Digital Liquidity Fund (BUIDL), providing on-chain exposure to short-term US Treasuries with daily yield accrual, which has garnered nearly $1.7 billion in assets.
Similarly, funds from Ondo Finance and Franklin Templeton are gaining traction, drawing significant investments and illustrating a robust appetite for tokenized assets within the institutional landscape.
The shift towards tokenizing real-world assets is indicative of a broader transformation within the financial sector as it increasingly embraces blockchain technology. As traditional financial institutions integrate these innovations, the infrastructure supporting the tokenization of assets such as US Treasuries is likely to advance, unveiling new opportunities for market participants.
