You can connect your Fireblocks Canton wallet to the DTCC tokenization app on Canton to receive tokenized assets and settle trades. This article explains how to onboard as a participant, onboard end investors, and which settlement flows are supported.
How it works
The DTCC Tokenization Service mints tokenized assets into participant wallets on Fireblocks. Trading and settlement between participants then go through the supported financial facilities (such as Tradeweb), and each participant signs its transactions on Fireblocks.
- Participants request minting from DTCC off-chain.
- DTCC mints the asset into the participant's Fireblocks wallet.
- Participants execute trades, such as repos, using supported financial facilities (such as Tradeweb), and allocate the tokenized assets to settle the trades.
- Tradeweb sends settlement instructions, and each participant signs and settles on Fireblocks.
The DTCC app uses the Ledger API connection method. See Connect to Canton applications.
Onboard as a participant
- Create a Canton wallet (Party ID) in a vault account. See Create a Canton wallet.
- Make sure the DTCC application is installed on your validator. It's installed and vetted on the Fireblocks shared validators by default. If you use your own validator, install it there. See Canton validators and Bring Your Own Validator.
- Share your Party ID with the DTCC onboarding team so they can add it to the tokenization app's allowlist. This currently happens through the DTCC portal.
- In the Console, go to dApps > Connect, select Connect to DTCC, and submit the onboarding request.
- Sign the approval transaction to finish onboarding.
- When DTCC mints assets to your wallet, approve and sign the transaction in the Console or through the API. See Approve or reject incoming Canton transfers.
After you connect, the connection details show the network, the vault account, and the DTCC party IDs. You can disconnect from the same screen.
Onboard end investors
Participants can onboard their end investors from their Fireblocks workspace:
- The participant creates an end investor onboarding request and signs it on Fireblocks.
- The request goes to the end investor's wallet (on Fireblocks or another wallet provider) for signing. The end investor receives it as an incoming offer.
- If the end investor approves, they are added to the allowlist and onboarding is complete. If they reject, they aren't added.
You can onboard end investors in the Console. Most of these actions are also available through the API.
Supported settlement flows
Collateral transfer
This is a one-way transfer of a tokenized asset (for example, USDCx or a CIP-56 token representing a security) to a counterparty as collateral, with no cash leg.
- You send the asset from your vault account to the counterparty's Party ID. See Send Canton transfers.
- A Policy rule can enforce your collateral approval workflow. See Canton Policy rules.
- The counterparty accepts automatically (1-step) or manually (2-step).
Treasury and equity repo (delivery versus payment)
In a repo, the seller transfers tokenized securities (for example, tokenized US Treasuries) to the buyer and receives cash (USDCx) at the same time.
- Supported facilities, such as Tradeweb, coordinate both legs.
- Each side signs its transfer on Fireblocks.
- Delivery versus payment (DvP) settlement makes the exchange atomic: both legs settle, or neither does.
To settle a DvP trade in the Console:
- Open the incoming DvP transaction offer from the activity panel.
- Select Accept or Reject.
- In the Accept DVP transaction offer dialog, review the incoming and outgoing amounts, the counterparty, and the settlement venue, then select Accept transaction. To decline, select Reject transaction in the Reject DVP transaction offer dialog. Rejecting declines the entire DvP request, for both sides.
- Sign the transaction.
If a DvP transaction is cancelled or rejected after you allocated funds, select Withdraw on the transaction. In the Withdraw allocated funds dialog, select Withdraw funds, then sign the withdrawal transaction.