P2P.org Becomes a Validator on the Canton Network
P2P.org has established itself as a validator on the Canton Network, a blockchain platform designed for institutional finance that manages over $4 trillion in tokenized assets. In its role as a validator, P2P.org will run nodes that authenticate and document transactions on the network.
Introduced in May 2023, Canton is a blockchain platform crafted to cater to regulated institutions, focusing on real-world asset (RWA) tokenization, interoperability, and compliance with standards.
This initiative brings P2P.org — a staking infrastructure provider that claims to control over $10 billion in assets across more than 40 blockchain networks — into a growing roster of participants in Canton’s ecosystem. Other notable members include Goldman Sachs, JPMorgan, Citi, Santander, Bank of America, HSBC, and BNP Paribas.
Jonathan Reisman, the product manager at P2P.org, shared that many blockchains have not been tailored for institutional needs, which has hindered their acceptance in traditional finance.
However, Reisman noted that platforms like the Canton Network facilitate “firms into an ecosystem where tokenization of assets, secure trading, and even innovations like BTC wrapping can be developed in a way that aligns with institutional standards.”
He further explained, “Validators only process the transactions they’re a party to and maintain them on their own ledger. This makes privacy more straightforward and institution-friendly.”
Validator Rewards and the Canton Token Model
On most proof-of-stake blockchains, validators receive rewards for securing the network by staking tokens, effectively locking up cryptocurrency in exchange for yields.
Staking has emerged as a leading trend in the sector this year, with a wider initiative from institutions towards networks like Ethereum and other public blockchains.
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Unlike the traditional proof-of-stake method of compensating validators via staking yields, the Canton Network distributes its native token, Canton Coin, based on the contributions participants make to the network’s activities. Infrastructure providers receive 35% of the distribution, application developers get 50%, and users are allocated 15%.
Canton asserts that this design is intended to connect rewards with actual usage and participation on the network. Each application also has the autonomy to define its own level of transparency and confidentiality.
Growing Institutional Interest in Blockchain Solutions
Similar to Canton, many protocols are developing blockchain infrastructure to meet institutional needs. In February, Lido released its v3 upgrade, featuring “stVaults,” modular contracts created to offer institutions greater control and compliance capabilities, responding to rising institutional demand.
Recently, Anchorage Digital introduced institutional custody and staking for Starknet’s STRK token, launching with an initial yield of 7.28% APR.
Regulatory advancements in the United States are also contributing to increased investor interest in crypto yield.
In August, the Securities and Exchange Commission (SEC) published new guidelines on liquid staking, allowing investors to deposit cryptocurrency with a provider and obtain “receipt tokens” that can be traded or utilized in decentralized finance (DeFi) while their assets remain staked.
The SEC indicated that these receipt tokens do not qualify as securities offerings under specific conditions, a ruling that industry leaders have described as a significant victory for both DeFi and institutional players.
