Gate News reports that in 2026, LayerZero announced the completion of its integration with the Canton Network, becoming the first interoperability protocol to enter the institutional-level blockchain ecosystem. This collaboration allows tokenized assets on Canton to flow across more than 165 public chains, providing a critical bridge for traditional financial assets to enter the crypto liquidity system.
This integration directly addresses the core challenge of the tokenized market: how to achieve cross-chain asset flow while balancing privacy protection and compliance requirements. Canton, as an important blockchain infrastructure on Wall Street, has already supported large-scale financial activities. According to reports, Broadridge’s distributed ledger repurchase platform processes approximately $300 billion to $400 billion in on-chain U.S. Treasury transactions daily, demonstrating the maturity of institutional-level applications.
Through LayerZero’s connectivity capabilities, tokenized assets within the Canton network (such as bonds, stocks, and digital cash) can not only access external stablecoin liquidity for primary market transactions but also have the potential to enter a broader secondary market. This structure is expected to enhance asset liquidity and expand the interaction pathways between institutional funds and public chain ecosystems.
Meanwhile, the traditional financial system is accelerating its layout of on-chain infrastructure. The New York Stock Exchange has partnered with Securitize to advance the construction of a tokenized securities platform, and U.S. regulators have also approved pilot trading mechanisms that allow certain stocks to be settled in tokenized form. Central banks in Europe and the UK are also moving in tandem, incorporating tokenized assets into collateral frameworks to further strengthen their financial attributes.
In this context, LayerZero’s strategic focus is shifting from connecting crypto-native ecosystems to serving regulated financial networks. Currently, its protocol covers assets exceeding $75 billion, with cumulative transaction volumes surpassing $200 billion, and supports over 700 institutions.
As institutional-level blockchains and public chain ecosystems gradually merge, cross-chain interoperability is becoming a key node in the new round of infrastructure competition.