The test case involved end-to-end margin and collateral operations on the Canton Network, executed in conjunction with Nasdaq Calypso. The integration allows firms to manage real-time risk and margin needs across crypto derivatives, fixed income, exchange-traded, and over-the-counter derivatives within a single platform.
Nasdaq Calypso is widely used across global institutions for risk and collateral operations. The new blockchain-connected workflow enables automation of margining across time zones and markets, addressing the increasing demand for round-the-clock capital efficiency. The Canton Network provides privacy-preserving data synchronization and interoperability between different financial applications, allowing for real-time operations without exposing sensitive trading data.
The pilot showcased how tokenized collateral could be moved, reallocated, and mobilized without friction across traditional and digital markets. Participants reported that the Canton integration allowed for efficient, always-on rebalancing of positions and operational control, without compromising data confidentiality.
Primrose Capital Management participated as a buy-side use case, applying the new infrastructure to support real-time portfolio rebalancing and risk alignment. Linus Ong, Chief Investment Officer at Primrose, said, “Primrose operates at the intersection of quantitative trading and digital asset innovation. This integration empowers our fund to align our portfolio management and real-time risk management with institutional-grade on-chain infrastructure. It brings the discipline of quant finance to a 24/7 digital market.”
Nasdaq is expected to extend the capabilities tested in this initiative into its broader suite of capital markets solutions. The company noted that future developments will focus on deepening support for both tokenized and traditional asset classes, and expanding institutional-grade collateral management services.
The move reflects Nasdaq’s broader push to drive infrastructure modernization in capital markets. The company’s technology is deployed by a wide array of institutions, including 97 percent of globally systemically important banks and more than 3,800 clients across exchanges, regulators, and trading firms.
The collaboration highlights a growing appetite for infrastructure that allows for seamless operation between traditional finance and digital assets. By connecting Calypso to the Canton Network, Nasdaq and its partners showcased a functioning model for 24/7 collateral management that can meet rising demands for capital efficiency, reduced counterparty risk, and integrated risk oversight.
