# DTS Integration > DFNS is collaborating with DTCC as part of the digital asset ecosystem supporting the DTCC Tokenization Service (DTS). DFNS clients can now hold, move and govern DTS tokenized securities on Canton and DTCC's Besu network. - Author: Clarisse Hagège (CEO & Co-founder) - Published: 2026-10-28 - Category: Update - Canonical: https://dfns.co/article/dts-integration/ - All DFNS articles: https://dfns.co/llms-full.txt --- Today, the Depository Trust & Clearing Corporation (DTCC) launched the DTCC Tokenization Service (DTS). Tokenized securities at the center of the US capital markets are now a commercial service, available to every DTC Participant. DFNS is proud to be among the 15 collaborators and partners DTCC brought together to make it possible. It's worth pausing on what this day is. DTC was created in 1973 to solve the paper crisis, when Wall Street was drowning in physical stock certificates and, in 1968, had to close one day a week to catch up. The answer was to immobilize the paper in one depository and move ownership as book entries. That decision made modern markets possible. Most US stocks and corporate and municipal bonds now settle on the system it created, and DTC holds more than $114 trillion in custody. Tokenization is the next version of that same idea. A security held at DTC can now exist as a token on a blockchain, keep every right and protection of the original, and move between traditional and tokenized form. For fifty years the depository has been where American finance keeps its records. From today, those records can also live onchain. That is not a proof of concept. It is the market infrastructure itself taking the step, in production, under a three-year SEC no-action letter, with 20 DTC Participants signed on from the start. We are glad to be part of the ecosystem that supports DTS. ## What DTS does DTS allows DTC, DTCC's depository, to create tokenized representations of securities it holds in custody. These tokenized securities keep the ownership rights, investor protections and economic entitlements of the originals. They can be converted between traditional and tokenized form and delivered to the digital wallets that eligible users choose. DTC holds more than $114 trillion in assets under custody. 20 DTC Participants have already signed agreements to access the service, and more will be onboarded over time. The service follows the US Securities and Exchange Commission's no-action letter of December 2025, covering Russell 1000 stocks, major index ETFs and US Treasuries. DTS runs today on the Canton Network and on DTCC's private Besu network, with more networks planned for 2027. ## What DFNS supports on DTS DTCC convened a wider ecosystem of market participants, wallet providers, applications and technology firms to support interoperability and connectivity around DTS. DFNS takes part as the wallet and operating layer. Institutions that run on DFNS can hold, move and govern DTS tokenized securities on the networks the service uses today: Canton and Besu. ### On the Canton Network Canton has been a [Tier-1 network on DFNS](https://www.dfns.co/article/canton-tier-1-support) since May 2025. Institutions can reach DTS on Canton in two ways. They can use a validator that DFNS hosts. Or they can connect their own validator to DFNS via [BYOV](https://www.dfns.co/article/canton-byov-support). In both cases, the Daml packages that define DTS instruments are deployed through a controlled and audited process, so DFNS can read, index and decode DTS holdings and transactions like any other Canton asset. Each holding appears in the wallet's balance and history, and every event arrives as a webhook. Each Canton party is a DFNS wallet with its own key. That key is generated and controlled through DFNS, as MPC key shares or in a supported HSM or TEE backend, and never sits on the node, whoever operates it. Institutions can also hold the keys themselves, in their own HSM or with on-premises MPC, so they do not need to trust DFNS with them. The node obtains signatures through Canton's external signing interface. This places every Canton action under the same [policies](https://www.dfns.co/article/policy-engine-4-0), quorums and audit log as any other asset on the platform. DFNS supports the CIP-56 token standard used for these instruments. Institutions can pre-approve DTS instruments, so incoming deliveries settle without manual acceptance. They can also take part in CIP-56 delivery-versus-payment settlement, where the securities leg and the cash leg settle atomically. Canton transactions built by DFNS remain valid for 24 hours, so a signed instruction is not lost to a short maintenance window. ### On DTCC's Besu Network DTCC's private Besu network is registered on DFNS through [Bring Your Own Chain](https://www.dfns.co/article/bring-your-own-chain), our registry for networks that institutions run themselves. From that moment, it works like any of the 100+ networks DFNS supports. Institutions can create wallets on it and, once those wallets are registered with DTC, receive, hold and transfer DTS tokenized securities and interact with the service's smart contracts. Every transaction goes through the Policy Engine for approvals, limits and allowlists before it is signed. DFNS indexes the network block by block and decodes the events emitted by DTS token contracts, so holdings appear in each wallet's balance and history. Webhooks fire as tokenized securities arrive, so an institution's own systems see a delivery the moment it lands. If an event is ever missed, [Transaction Replay](https://www.dfns.co/article/transaction-replay) brings it back by hash. [Address Watches](https://www.dfns.co/article/address-watches) work on the network too, which lets an institution follow a DTS contract without holding a key to it. Wallets use the same keys, policies and audit trail as every other network on DFNS. ## Why it matters For years, tokenized securities lived in demonstrations. A fund here, a bond there, a pilot with a handful of banks and a press release. The technology worked. What was missing was the one institution whose participation turns an experiment into the market. In the United States, that institution is DTCC. When the depository that already holds the securities can tokenize them, the question stops being whether tokenized finance will arrive and becomes how fast institutions can operate in it. Collateral that today takes days to move between counterparties can move in minutes. Settlement can happen around the clock instead of in a window. Assets can reach new pools of liquidity without leaving the protections of the existing system. And every one of those tokens is backed by a security sitting at DTC and carries the same ownership rights and protections investors already rely on. The consequences reach far beyond the 20 participants who signed first. Once the largest depository in the world runs tokenization in production, every bank, broker and asset manager that touches US securities will eventually need to hold, move and account for tokenized assets, on more than one network, under their own controls, with a record their supervisors accept. That is the operational work behind the headline, and it is the job of a core banking platform for digital assets. We have spent six years building for this moment. Being part of the ecosystem around the DTCC Tokenization Service, on the day it goes live, is the kind of milestone a company remembers. We are proud of it, and grateful to DTCC and the wider industry for the collaboration. ## Get started * Learn more about the DTCC Tokenization Service: [dtcc.com](https://www.dtcc.com/products-and-services/digital-assets/tokenization) * Learn more about onchain core banking: [dfns.co](https://dfns.co/) * Talk to our team: [sales@dfns.co](mailto:sales@dfns.co)