Tradeweb, an institutional electronic trading platform, conducted an onchain transaction for tokenized U.S. Treasuries in which Franklin Templeton transferred a tokenized Treasury security to Virtu Financial in exchange for tokenized cash via the Canton Network.

Tradeweb provided trade execution and price discovery, while the Canton Network synchronized settlements between tokenized treasury and tokenized cash. The companies said the transaction was settled in real time, but did not disclose its size.

A Tradeweb spokesperson told Cointelegraph that the transaction was the industry’s first real-time purchase and sale of tokenized U.S. Treasury bonds settled against USDCx, a USDC-backed stablecoin issued in Canton. Participants included Blockdaemon, Digital Asset, Societe Generale, Franklin Templeton, Tradeweb and Virtu Financial.

As announced, the transaction comes ahead of the planned launch of Depository Trust & Clearing Corporation (DTCC) tokenization services later this year. DTCC he said the service will enable participants to tokenize selected stocks, ETFs and U.S. Treasury securities while maintaining the same investor and property rights protections as classic assets.

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The transaction is also the latest step in Franklin Templeton’s expansion into tokenized financial assets. Earlier this year, the asset manager partnered with Binance to allow institutions to exploit tokenized money market fund shares as trading collateral while the assets remained in regulated custody, and with Ondo Finance to bring tokenized ETFs to the blockchain network.

Governments are developing initiatives related to tokenized bonds

Governments are also increasing efforts to introduce sovereign debt onto blockchain infrastructure. Several jurisdictions have launched digital bond programs to test blockchain-based issuance, settlement and market infrastructure.

Hong Kong was one of the first jurisdictions to issue tokenized government bonds, launching its inaugural digital green bond in 2023. The government completed its third digital green bond issuance in November 2025, raising HKD10 billion ($1.3 billion) in four currencies, which it said was the world’s largest digital bond issuance at the time.

Last month Hong Kong he said will build a digital assets platform through the Hong Kong Monetary Authority to support the issuance and settlement of tokenized bonds, with plans to expand the infrastructure to other digital assets and connect it to tokenization platforms across the region.

Elsewhere, the UK government has appointed HSBC Orion to support the pilot Digital Gilt Facility, which aims to test blockchain-based issuance, settlement and secondary trading of government bonds.

Meanwhile, according to data from RWA.xyz, the market for tokenized US treasury products has reached $14.6 billion. The sector includes 84 products on the chain and is the largest segment of the real-world tokenized asset market.

Tokenized US treasury bonds. Source: RWA.xyz

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