Tokenovate completes intra-day repo settlement on Canton Network

By Divya Shah

Tokenovate has completed an intra-day repo transaction on the Canton Network, using tokenised USDC and the FINOS Common Domain Model to automate trade processing and settlement.

This demonstrates how tokenised cash, distributed ledger technology and standards-based workflow automation can support more efficient post-trade processes in financial markets. 

Alongside the transaction, Tokenovate has joined the Canton Foundation as a General Member, further strengthening its involvement in developing programmable post-trade infrastructure within the Canton ecosystem. 

The initiative comes as financial institutions face increasing demands for improved intraday liquidity management, faster collateral movement and shorter settlement cycles. Market participants are also adapting to the shift towards accelerated settlement, following the United States’ move to T+1 settlement and similar reforms being planned across the UK and Europe. 

The repo transaction was executed using CDM-native event and state management across the entire trade lifecycle, including trade representation, lifecycle processing, collateral transfers and coordinated settlement of both legs of the transaction. 

The demonstration was conducted in a controlled environment and aligned with established market documentation, ensuring consistency between the digital workflow and recognised legal standards governing repo transactions. 

By combining the FINOS Common Domain Model with tokenised cash and distributed ledger infrastructure, the initiative highlights the potential for financial institutions to improve liquidity management, enhance collateral mobility and strengthen operational resilience through greater automation. 

“Financial markets are moving toward a more automated and interoperable operating model, where legal rights of tokenised assets and digital cash can benefit from standards-based workflow orchestration and seamlessly operate across traditional and digital infrastructure,” said Richard Baker, founder and CEO of Tokenovate. 

“This intra-day repo transaction on our platform demonstrates how native CDM, the Canton Network, and tokenised cash and securities can work together to deliver highly scalable, repeatable, yet programmable post-trade workflows, as well as more efficient collateral movement in regulated financial markets,” he added.  

Georg Schneider, Global Head of Real-World Assets (RWA) at Digital Asset, said, “Intra-day repo is exactly the kind of market activity Canton was built to support. Institutions need assets and cash to move together quickly without sacrificing privacy, control or existing market standards.”   

“Tokenovate’s work shows how onchain infrastructure can support more efficient financing and liquidity management as markets move toward faster, more continuous settlement,” Schneider added. 

The development underscores the growing role of tokenisation, distributed ledger technology and industry standards in modernising capital markets infrastructure, particularly as firms seek to automate post-trade operations and support next-generation settlement models.