Franklin Templeton Executes Tokenized U.S. Treasury Trade With Stablecoins on Canton Network

TLDR:

• Franklin Templeton exchanged a tokenized Treasury security for tokenized cash using on-chain settlement.
• The transaction paired a tokenized U.S. Treasury with USDCx and settled through Canton Network infrastructure.
• Tradeweb executed and priced the trade while several financial firms participated in the transaction.
• The deal occurred after market hours and was later reported to TRACE, according to Christopher Perkins.

Franklin Templeton has completed a tokenized U.S. Treasury transaction using stablecoins and on-chain settlement infrastructure. The trade involved the exchange of a tokenized Treasury security for tokenized cash on the Canton Network.

Tradeweb facilitated execution and price discovery while several financial firms supported the transaction. The deal adds to institutional efforts to move real-world assets onto blockchain-based financial rails.

Tokenized U.S. Treasury Trade Executes on Canton Network

Tradeweb announced the completion of the real-time transaction on July 1. The trade paired an on-chain U.S. Treasury with tokenized cash known as USDCx.

According to the announcement, Franklin Templeton transferred a tokenized Treasury security to Virtu Financial. In return, Virtu delivered USDCx through synchronized settlement on the Canton Network.

Tradeweb supplied the execution venue and pricing services for the transaction. The Canton Network coordinated the simultaneous movement of both assets on-chain.

Participants included Blockdaemon, Digital Asset, Franklin Templeton, Societe Generale, Tradeweb, and Virtu Financial. The transaction was also reported to TRACE after execution.

Christopher Perkins, president of CoinFund and former Coinbase executive, said on X that the trade took place after normal market hours. He noted that the transaction settled nearly instantly and represented another step toward continuous on-chain markets.

Tokenized Real-World Assets Gain Institutional Momentum

Tradeweb said the transaction demonstrates how tokenized U.S. Treasuries and tokenized cash can settle in real time. The company noted that traditional timing and settlement limitations did not apply to the process.

The transaction also arrives as the Canton Network prepares for the launch of DTCC’s Tokenization Services later this year. According to the announcement, the initiative aims to support broader access to high-quality liquid assets beyond traditional market hours.

Digital Asset said the transaction marked another milestone in developing always-on and interoperable capital markets infrastructure. The company added that continuous market making can increase asset utility and improve market accessibility.

Franklin Templeton described each tokenized transaction as another step toward a round-the-clock liquidity layer. The asset manager stated that on-chain capabilities can allow high-quality assets to move without the restrictions of standard market schedules.

Virtu Financial said the trade expands its market-making capabilities into tokenized U.S. Treasuries. The company added that blockchain-based settlement can support liquidity provision without conventional settlement constraints.

The Canton Network said active participation from firms including Franklin Templeton, Tradeweb, and Virtu Financial contributes to a unified framework for moving real-world assets across digital financial systems.