The LayerZero integration gives assets tokenized on Canton access to over 165 public blockchains.
LayerZero has integrated with the institution-focused blockchain Canton (CC), becoming the first interoperability protocol to go live on the network, per a press release shared with The Defiant.
The integration, announced today, March 26, lets traditional financial institutions on Canton route tokenized assets, including securities, digital bonds, and equities, across the more than 165 public blockchains supported by LayerZero, while maintaining their compliance and confidentiality requirements, according to the release.
Also part of the integration, investors can now use stablecoins on external public chains to fund primary purchases of Canton-based tokenized real-world assets (RWAs), while Canton-native tokenized instruments can move into other ecosystems for secondary market trading.
“Canton has already built the rails for traditional finance, processing more than $350B in daily U.S. Treasury repo volume,” LayerZero CEO Bryan Pellegrino said in the release. “LayerZero’s job is to make sure those assets are available in every global market, across blockchains.”
The deal extends LayerZero’s already notable institutional push. In February, LayerZero unveiled its own Layer 1 blockchain, Zero, backed by strategic investments from Citadel Securities and Tether.
The Depository Trust & Clearing Corporation (DTCC) and the New York Stock Exchange’s parent Intercontinental Exchange both said they are evaluating the network for tokenized securities and settlement workflows.
More recently, LayerZero partnered with Centrifuge to expand multichain access for tokenized funds including nearly $861 million in tokenized U.S. Treasuries, as The Defiant reported last week.
For its part, Canton positions itself as the L1 blockchain network for TradFi institutions, with configurable privacy features. Per data from RWAxyz, Canton currently has $342.7 billion in represented asset value from tokenized RWAs, all of which is attributed to Broadridge’s Distributed Ledger Repo (DLR) platform.
Canton’s native CC token now carries a market cap of roughly $5.2 billion, ranking it #21 on CoinGecko. Last June, Digital Asset, the firm behind Canton, raised $135 million in a round that included Goldman Sachs, Citadel Securities, BNP Paribas, the DTCC, and Paxos, with CEO Yuval Rooz saying the capital would accelerate adoption for tokenized bonds, money-market funds, and commodities, as The Defiant reported at the time.
Just yesterday, Visa announced that it has become a Super Validator on the Canton network, becoming the first global payments company to do so, and is set to introduce privacy-preserving payments to the network.
This article was written with the assistance of AI workflows. All our stories are curated, edited and fact-checked by a human.
Source: https://thedefiant.io/news/infrastructure/layerzero-partners-with-canton-as-first-interop-protocol
