DTCC s Groundbreaking Move: Tokenizing U.S. Treasury Securities

The Depository Trust & Clearing Corporation DTCC is set to revolutionize the financial landscape by tokenizing U.S. Treasury securities through a partnership with Digital Asset Holdings and the Canton Network. This initiative marks a significant shift towards blockchain integration in core market infrastructure, enabling faster settlements and new liquidity avenues.
On December 17, DTCC announced its collaboration following the receipt of a No-Action Letter from the U.S. Securities and Exchange Commission SEC . This letter permits DTCC to tokenize real-world assets it custodies, positioning this project as a key step in making these assets available on-chain. The announcement highlighted that
for the first time, a subset of U.S. Treasury securities custodied at DTC will be minted on the Canton Network.
The organizations aim to develop a minimum viable product by the first half of 2026, with plans to expand based on client interest. DTCC will utilize its ComposerX platform for issuance and lifecycle management while ensuring alignment with existing processes.
This partnership emphasizes tokenization as a practical enhancement to market infrastructure rather than a mere pilot project. Yuval Rooz, Co-Founder and CEO of Digital Asset, described it as a foundation for interoperable financial ecosystems that can unlock new liquidity and operational improvements. Brian Steele, DTCC s Managing Director, stated that the goal is to improve liquidity and market transparency while maintaining regulatory compliance.
The Canton Network emphasized the upcoming capability to
exchange tokenized USTs in near-real-time with stablecoins and other digital assets
, which will enhance global collateral mobility and settlement efficiency. DTCC anticipates that adopting tokenized securities could lead to significant operational efficiencies for market participants, including major market makers and hedge funds.
Additionally, DTCC will play a leadership role in the Canton Network s decentralized governance as co-chair of the Canton Foundation alongside Euroclear. This reinforces the movement towards scalable, market-ready infrastructure for regulated tokenization of U.S. Treasurys.