Nasdaq has announced the implementation of end-to-end margin and collateral workflows on the Canton Network, a blockchain-based infrastructure, through its integration with Nasdaq Calypso.
Developed in partnership with QCP, Primrose Capital Management, and Digital Asset, the use case highlights the potential of combining on-chain functionality with traditional financial workflows to improve collateral mobility across asset classes for institutional users.
Nasdaq Calypso is a platform widely used by financial institutions to manage risk, margin, and collateral needs within a unified environment.
The integration with Canton Network enables the platform to support automated, round-the-clock collateral and margin management for a broad range of assets, including crypto derivatives, fixed income products, exchange-traded derivatives, and OTC derivatives.
The initiative is positioned as a step towards building infrastructure to support the next phase of digital asset market development.
It demonstrates how blockchain-based processes can help financial institutions meet increasing demands for real-time capital efficiency in markets that operate continuously.
Melvin Deng, CEO of QCP, commented:
“This isn’t just a technological milestone, it’s a paradigm shift for capital efficiency. Automating collateral management on-chain allows us to offer our clients enhanced security, better pricing, and the ability to deploy capital 24/7 across both traditional and digital assets.”
He also noted QCP’s involvement in shaping the design and integration of the solution, and its plans to support Nasdaq in developing a new suite of OTC spot and derivatives products.
Nasdaq’s Head of Marketplace Technology, Magnus Haglind, said the development reflects broader changes in the market:
“Capital market infrastructure and the emerging digital asset ecosystem are on the cusp of a generational shift as they converge with faster settlement and 24-hour trading, driving a new operational paradigm for market participants. Financial institutions need to improve real-time risk management and mobilise collateral to optimise capital and liquidity deployment.”
Nasdaq has indicated plans to further expand its digital asset capabilities across its capital market solutions, aiming to support institutional adoption and contribute to the long-term development of the digital asset ecosystem.
Featured image credit: Edited by Fintech News America, based on image by freepik via Freepik
