About a-team Marketing Services
The knowledge platform for the financial technology industry
The knowledge platform for the financial technology industry

A-Team Insight Briefs

Canton Network and Digital Asset Partner to Revolutionise Crypto Derivatives Collateral Management

Subscribe to our newsletter

The Canton Network, in collaboration with Digital Asset, QCP, and select counterparties, has launched a project to introduce an advanced on-chain collateral and margin management solution for bilateral derivatives. The initiative leverages the Canton Network’s robust privacy features to address inefficiencies in the crypto derivatives market, which suffers from over-collateralisation and the high costs associated with tri-party agents.

Key features include smart contract-based collateral agreements that comply with ISDA CSA margin requirements, automated workflows, real-time access to a shared ledger, and tokenised collateral pledging. The solution enhances operational efficiency while preserving transaction privacy by restricting access to sensitive data. Benefits for market participants include 24/7 on-demand margining, shorter margin cycles, and integration of stablecoins and real-world assets within the Canton Network.

Georg Schneider, Head of Financial Products at Digital Asset, commented: “This collaboration underscores Digital Asset’s dedication to revolutionizing market infrastructure through innovative, blockchain-powered solutions within the Canton Network. We are excited to bring privacy to on-chain collateral management, which will allow for the automated flow of funds between counterparties in a secure way without publicly disclosing open derivatives positions.”

Darius Sit, Founder and CIO at QCP, added: “We are excited to spearhead this initiative with the Canton Network to redefine the future of derivatives markets. Its unique ability to deliver privacy forms the foundation for a groundbreaking global collateral network, enabling seamless and secure connections across trading venues, brokers, investors, and FMIs. By addressing inefficiencies in collateral management, this initiative reinforces our commitment to providing clients with trusted, efficient, and scalable solutions that redefine market standards.”

Subscribe to our newsletter

Related content

WEBINAR

Recorded Webinar: Senior Managers and Certification Regime (SMCR) – challenge or opportunity?

Are you ready to meet the requirements of the Senior Managers and Certification Regime (SMCR) when it comes into force for all firms authorised by the Financial Conduct Authority (FCA) in December 2019? Have you allocated all your staff to one of the four categories available under SMCR? Has your firm prepared a ‘statement of...

BLOG

Trading Technology Leaders in APAC Revealed in A-Team Insight’s 2025 Awards Introduction

A-Team Group is delighted to announce the winners of the inaugural Capital Markets Technology APAC Awards 2025, celebrating the leading solution providers and innovators shaping the future of trading in the Asia Pacific region. To coincide with the awards, we have also published our comprehensive annual report, “The State of Capital Markets Technology in Asia...

EVENT

AI in Capital Markets Summit New York

The AI in Capital Markets Summit will explore current and emerging trends in AI, the potential of Generative AI and LLMs and how AI can be applied for efficiencies and business value across a number of use cases, in the front and back office of financial institutions. The agenda will explore the risks and challenges of adopting AI and the foundational technologies and data management capabilities that underpin successful deployment.

GUIDE

Solvency II Data Management Handbook

Want to get a handle on Solvency II and what it means for data management? Need to make sure you have all the bases covered for the looming January 2016 deadline? Our Solvency II Data Management Handbook is now available for free download to help you. This Handbook is the ultimate guide to all things...