Transaction marks the first OTC swap on Canton Network and the first on-chain derivatives trade tied to S&P Dow Jones Indices' iBoxx USD Liquid Investment Grade Index, with the tokenization of IP provided by Kaiko
NEW YORK, Oct. 13, 2026 /PRNewswire/ -- Derivnex and Canton today announced the completion of the first OTC swap transaction on Canton, marking the launch of Derivnex's platform for bringing institutional derivatives lifecycle management on-chain.
The transaction is a total return swap between DRW, acting as counterparty, and Marex as the swap provider, referencing the iBoxx USD Liquid Investment Grade Index, which Kaiko has tokenized on Canton. OTC swaps are privately negotiated contracts that allow counterparties to gain or manage exposure to an asset or index without owning it directly. While these markets are central to institutional finance, managing a swap over its life typically requires multiple systems, bilateral communications and ongoing reconciliation between counterparties.
Through Derivnex, the trade was represented on Canton as a smart contract containing the transaction terms and designed to remain with the trade throughout its lifecycle. This gives DRW and Marex a shared, synchronized record for managing valuations and other lifecycle events.
Derivnex incorporates the Common Domain Model (CDM), providing a standardized digital representation of derivatives transactions and processes. For this transaction, Kaiko tokenized the S&P iBoxx USD Liquid Investment Grade Index and distributed the S&P DJI official index values used by Derivnex for ongoing valuation of the position, making this the first OTC derivative to reference a fully tokenized index on distributed ledger infrastructure. S&P DJI provides the underlying benchmark data, demonstrating how established benchmark infrastructure can be integrated into new digital derivatives workflows.
"OTC derivatives are one of the largest markets in institutional finance, but much of the infrastructure supporting them remains fragmented," said George Harrington, CEO of Derivnex. "Derivnex gives counterparties a common digital representation of a trade from affirmation through its full lifecycle. Completing the first OTC swap on Canton shows how that model can work in a live institutional market."
Canton provides the shared infrastructure for Derivnex, enabling counterparties to coordinate transaction workflows while maintaining the confidentiality required for bilateral markets.
Derivnex initially plans to focus on equity and index derivatives, including index, basket and single-name products. Future functionality is expected to connect Derivnex-managed positions with digital cash and collateral on Canton, enabling margin, collateral and contractual payments to move within the same infrastructure as the underlying transaction.
Don Wilson, Founder and CEO of DRW, said:
"Uncleared OTC derivatives are a large and growing market with cumbersome back office workflows. With Derivnex on Canton, Marex and DRW are able to work from the same record, thereby streamlining processes. I'm excited by the efficiency this could bring across more trades and counterparties, particularly when cash and collateral movement become integrated."
Nilesh Jethwa, CEO, Marex Solutions, said:
"In line with Marex' focus on bridging the traditional finance and digital asset worlds, this transaction provides a practical example of how OTC derivatives can be represented and managed on-chain while maintaining the controls required by institutional market participants."
Cameron Drinkwater, CPOO at S&P DJI, said:
"This transaction shows how established benchmark infrastructure can support new institutional market structures. Pairing a flagship index with controlled digital distribution extends our credit franchise into on-chain finance, building on more than two decades of liquidity, transparency and tradability on iBoxx benchmarks while preserving trusted rigor and governance."
Yuval Rooz, CEO and Co-Founder of Digital Asset, said:
"Derivatives are a natural fit for programmable financial infrastructure because the transaction continues to evolve long after the initial trade. Derivnex is demonstrating how counterparties can manage that full lifecycle on shared infrastructure while preserving the controls institutional markets require."
Ambre Soubiran, CEO of Kaiko, said:
"Reliable benchmark and pricing data are essential to managing derivatives positions. This transaction demonstrates how tokenized benchmark infrastructure and trusted pricing data can work together to support new institutional markets and products, while preserving the licensing, governance and operational standards required by financial institutions."
Scott O'Malia, CEO of ISDA, said:
"The Common Domain Model provides a consistent digital representation of financial transactions and lifecycle events. Its use in platforms such as Derivnex demonstrates how industry standards can support greater automation and interoperability in derivatives markets at scale."
About Derivnex
Derivnex is the OTC trade affirmation platform on the Canton blockchain that creates smart contracts for lifecycle management, valuation, and digital settlement of assets agreed upon by counterparties. The Derivnex solution dramatically increases the velocity of capital for OTC trades, while reducing costs for all counterparties involved in the transaction.
About Canton
Canton is the only public, permissionless blockchain purpose-built for institutional finance-uniquely combining privacy, compliance, and scalability. With participation from leading global financial institutions and network governance independently facilitated by the Canton Foundation, Canton enables real-time, secure synchronization and settlement across multiple asset classes on a shared, interoperable infrastructure. The open-sourced network is powered by its native token, Canton Coin, and supports decentralized governance and collaborative application development. It's the proven link between the promise of blockchain and the power of global finance, making finance flow the way it should. Learn more at: canton.network.
About Marex
Marex Group Limited (NASDAQ: MRX) provides market access, infrastructure services and essential liquidity to clients across global commodity and financial markets. The Group provides comprehensive breadth and depth of coverage across four services: Clearing, Agency and Execution, Market Making and Hedging and Investment Solutions. It has a leading franchise in many major metals, energy and agricultural products, with access to more than 60 exchanges. Marex has over 3,400 active clients, including some of the largest commodity producers, consumers and traders, banks, hedge funds and asset managers. With more than 50 offices worldwide, the Group has over 3000 employees across Europe, Asia and the Americas. For more information visit www.marex.com.
About Kaiko
Kaiko provides institutional-grade data, regulated digital asset services, and infrastructure for on-chain finance. Founded in 2014, the company supports trading, valuation, risk management, tokenized assets and on-chain applications, connecting traditional and blockchain-based markets. Its clients include banks, asset managers, exchanges and leading financial institutions worldwide. For more information, visit www.kaiko.com.
About S&P Dow Jones Indices
S&P Dow Jones Indices is the largest global resource for essential index-based concepts, data and research, and home to iconic financial market indicators, such as the S&P 500® and the Dow Jones Industrial Average®. More assets are invested in products based on our indices than products based on indices from any other provider in the world. Since Charles Dow invented the first index in 1884, S&P DJI has been innovating and developing indices across the spectrum of asset classes helping to define the way investors measure and trade the markets. S&P Dow Jones Indices is a division of S&P Global (NYSE: SPGI), which provide essential intelligence for individuals, companies, and governments to make decisions with confidence. For more information, visit: www.spglobal.com/spdji.
The iBoxx USD Liquid Investment Grade Index (the "Index") is a product of S&P Dow Jones Indices LLC or its affiliates ("SPDJI") and has been licensed for use by DRW and Marex Solutions. S&P®, S&P 500®, US 500™, The 500®, iBoxx®, iTraxx® and CDX® are trademarks of S&P Global, Inc. or its affiliates ("S&P"); Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC ("Dow Jones"), and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by DRW and Marex Solutions. Financial products (including OTC Swaps) are not sponsored or sold by SPDJI, Dow Jones, S&P or their respective affiliates, and none of such parties make any representation regarding the advisability of investing in such product(s) nor do they have any liability for any errors, omissions, or interruptions of the Index.
Contact: Paul Patella, media@digitalasset.com
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SOURCE Canton Network
