FinanceShareShare this articleCopy linkX (Twitter)LinkedInFacebookEmailCanton Network Secures $355 Million to Advance Onchain Capital Markets
Investment Highlights
- Digital Asset, the firm behind the Canton Network blockchain, announced it has successfully raised $355 million in a funding round spearheaded by a16z crypto.
- Notable global institutions such as ABN Amro, Apollo Funds, BNP Paribas, Citadel Securities, HSBC, SBI Group, and the Abu Dhabi Investment Authority participated in this round.
- This funding reflects a rising interest from traditional financial entities in blockchain solutions tailored for regulated markets and institutional needs.
Digital Asset, which is responsible for the development of the Canton Network (CC) blockchain utilized by major banks and trading firms, announced on Thursday that it has concluded a funding round that raised $355 million to support its mission of integrating capital markets into onchain environments.
The round was led by a16z, with contributions from prominent institutions including ABN Amro, Apollo Funds, BNP Paribas, Citadel Securities, HSBC, SBI Group, and a subsidiary of the Abu Dhabi Investment Authority.
This funding surpassed the initial target of $300 million, achieving a valuation of $2 billion, which was reported last month.
The investment is part of a broader trend where traditional financial institutions are increasingly supporting blockchain frameworks specifically designed for regulated markets. For instance, Tempo, a payments blockchain developed by Stripe and Paradigm, reportedly raised $500 million last year at a $5 billion valuation. Meanwhile, Circle Internet (CRCL), the issuer of the USDC stablecoin, raised $222 million for its Arc blockchain at a $3 billion valuation, with backing from BlackRock, Apollo Funds, a16z crypto, and ARK Invest.
The Canton Network is specifically designed for large financial entities to issue and trade tokenized real-world assets—like bonds, loans, and funds—on a shared ledger while ensuring compliance and privacy. It merges the decentralization of public blockchains with the necessary safeguards of traditional finance.
Yuval Rooz, co-founder and CEO of Digital Asset, stated, "For capital markets to transition to onchain environments, institutions require infrastructure that mirrors their operational realities—incorporating privacy, compliance, scalability, and interoperability from the outset."
The company also noted that a16z crypto will lend its expertise in development, policy, and research in addition to its financial investment.
Ali Yahya, general partner at a16z crypto, expressed, "One of the most compelling blockchain opportunities is no longer theoretical; it is becoming tangible as real-world assets and institutional processes shift onchain. Digital Asset has exemplified a clear case of blockchain product-market fit within regulated finance."
Read more: Why big banks are snubbing open ledgers to build their own private blockchains
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