Compliant Onchain Finance
Patrick@patrick
−4.4%
since Oct 3
The idea
I believe finance is shifting onchain over the next few years toward instant, deterministic settlement on shared ledgers that still let regulators and auditors see inside transactions, privacy without anonymity. The purest plays on this, like Canton Network, Dusk, and Aztec, cannot be held directly, so this basket owns the closest proxies: compliance-minded settlement coins, the market infrastructure processing real volume, the institutions connected to Canton, and asset managers tokenizing funds, with cash held in reserve.
What it owns
- These chains and middleware enable institutions to settle transactions with privacy alongside auditability, the foundation for regulated onchain finance. · ChainlinkIt moves data and proofs between private bank ledgers and public chains, providing the auditable-but-private connective layer institutions need for compliant settlement., XRPIt settles payments in seconds on a ledger designed for regulated institutions, pending real adoption by banks routing payment and tokenization volume through the network., HederaIt is governed by a council of large companies with fast deterministic settlement, designed to win institutional volume if finance moves onchain via enterprise-governed chains., AvalancheIt lets institutions create permissioned chains with controlled access while maintaining EVM compatibility, matching the privacy-plus-auditability model described in this take., Stellar LumensIt hosts tokenized money funds from major asset managers, serving as a live example of cheaper and faster settlement than traditional infrastructure.36%
- Custody providers, stablecoin issuers, and regulated exchanges collect transaction fees and services revenue as institutional capital flows onchain. · Circle Internet GroupIt issues USDC, the regulated dollar that provides the compliant cash leg required for instant settlement across the chains in this take., Coinbase GlobalIt provides custody and trading for institutional digital assets under US regulation, earning fees regardless of which compliant chain becomes dominant., CME GroupIt provides regulated derivatives trading for institutional crypto and is building tokenized settlement infrastructure, adding the compliant hedging layer to onchain finance., Galaxy DigitalIt offers trading, asset management, and advisory services focused on institutions adopting onchain finance, capturing revenue directly tied to institutional capital inflows., NasdaqIt sells market technology to global exchanges and is integrating tokenized settlement into that platform, enabling venues to modernize toward compliant onchain infrastructure.24%
- Public companies already moving real money on privacy-preserving ledgers serve as the closest available proof points for institutional adoption of compliant onchain settlement. · Broadridge Financial SolutionsIt already settles over a trillion dollars monthly of repo on a privacy-preserving distributed ledger, proving that institutional onchain volume is operational today., JPMorgan ChaseIt operates its own deposit token and participates in the Canton network, moving real client money onchain through the compliant infrastructure model this take describes., Goldman SachsIt helped found the Canton Network and built a digital asset platform for tokenized bonds, positioning itself for institutional finance settlement on shared private ledgers.19%
- Asset managers putting funds and securities onchain create the demand that justifies all the settlement plumbing and infrastructure in this take. · BlackRockIt launched the tokenized money fund that brought asset tokenization into mainstream institutions and continues to push that trend across its product suite., Franklin ResourcesIt runs SEC-registered onchain money funds across multiple blockchains, demonstrating the asset manager adoption required for institutional settlement growth.12%
- Cash10%