The Canton Network is set to enter a testing phase in July.
Various finance and technology industry giants, including an American technology corporation Microsoft and investment bank Goldman Sachs, are joining forces to develop the Canton Network, a privacy-enabled blockchain network for financial institutions.
The Canton Network, announced on May 9th, aims to serve those dealing with institutional assets by synchronizing previously isolated financial markets.
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The ambitious project is set to enter the extensive privacy control and scalability capabilities testing phase in July. All of the above-noted factors are crucial features for major financial institutions.
The network's current participants include around 30 companies, such as BNP Paribas, Cboe Global Markets, Digital Asset, Paxos, Microsoft, Goldman Sachs, and Deloitte.
Executive vice president of Cboe Global Markets, Cathy Clay, believes that blockchain technology can "unlock" new opportunities in the market.
The tokenization of real-world assets may offer an unprecedented opportunity to create new market infrastructure and drive efficiency in the trading of products across the globe.
Based on the announcement, the Canton Network is built on Digital Asset's smart contract language Daml. The interoperable system allows the synchronization of "assets, data, and cash" across linked applications.
As the crypto winter decreases, institutional investors' interest in the crypto industry continues to grow.
At the beginning of May, Cathie Wood's ARK Investment purchased approximately $18 million in Coinbase shares, while a Goldman Sachs study revealed over 30% of family offices have investments in digital assets.
The collaboration between major players like Microsoft and Goldman Sachs to develop the Canton Network highlights the increasing importance of blockchain technology in the financial world.
