Tradeweb, an institutional electronic trading platform, executed on-chain transactions involving tokenized U.S. Treasuries, and Franklin Templeton transferred tokenized U.S. Treasuries to Virtu Financial in exchange for tokenized cash via the Canton Network.
Tradeweb provided execution and price discovery, and Canton Network synchronized settlement between tokenized treasury and tokenized cash. The companies said the trade was settled in real time, but did not disclose its size.
A Tradeweb spokesperson told Cointelegraph that the transaction represents the industry’s first real-time buying and selling of tokenized U.S. Treasuries settled against USDCx. $USDCA backed stablecoin issued in canton. Participants include Blockdaemon, Digital Asset, Societe Generale, Franklin Templeton, Tradeweb, and Virtu Financial.
The transaction comes ahead of the expected launch of the Depository Trust & Clearing Corporation (DTCC) tokenization service later this year, according to the announcement. DTCC said the service allows participants to tokenize certain stocks, exchange-traded funds (ETFs) and U.S. Treasury securities while maintaining the same investor protections and ownership as traditional assets.
Related: Franklin Templeton launches dedicated cryptocurrency division after completing acquisition of 250 Digital
The transaction also marks the latest step in Franklin Templeton’s expansion into tokenized financial assets. Earlier this year, the asset manager partnered with Binance to allow financial institutions to use tokenized money market fund shares as trading collateral, while the assets are placed in regulated custody, and partnered with Ondo Finance to bring tokenized ETFs to the blockchain network.
Government expands tokenized bond efforts
The government is also expanding its efforts to bring sovereign debt to blockchain infrastructure. Several jurisdictions have launched digital bond programs testing blockchain-based issuance, settlement, and market infrastructure.
Hong Kong was one of the first jurisdictions to issue tokenized government bonds, issuing its first digital green bond in 2023. The government completed its third digital green bond issuance in November 2025, raising HK$10 billion ($1.3 billion) in four currencies, making it the world’s largest digital bond issue at the time.
Last month, Hong Kong announced that it was building a digital asset platform through the Hong Kong Monetary Authority to support the issuance and settlement of tokenized bonds, with plans to extend its infrastructure to other digital assets and connect with tokenization platforms across the region.
Elsewhere, the UK government has appointed HSBC Orion to support a pilot of a digital gilt instrument aimed at testing blockchain-based government bond issuance, settlement and secondary trading.
Meanwhile, tokenized U.S. Treasury products have grown to a $14.6 billion market, according to data from RWA.xyz. This sector spans 84 on-chain products and is the largest segment of the tokenized real-world asset market.
Tokenized US Treasuries. sauce: RWA.xyz
