A series of pilot tests of a blockchain network connecting banks and financial institutions has become one of the largest experiments in capital markets, Bloomberg has learned. International mega-corporations participated in the experiment, including Goldman Sachs, BNY Mellon, Cboe Global Markets.

The goal was to explore the potential benefits for banking institutions with the widespread use of blockchain technologies, including the reduction of counterparty and settlement risks, as well as capital optimization.

Participants in the experiment completed more than 350 transactions on the Canton Network blockchain network across 22 networks connected to the registry. Tokenized asset turnover, fund register transfer, digital asset payment options, repos, securities lending and margin management options were tested.

The Canton blockchain network was launched specifically for the purpose of the experiment in May last year under the management of Digital Asset Holdings.

The experiment involved 15 investment companies, 13 banks, four custody services, three exchanges, stablecoin issuer Paxos Trust, as well as BNP Paribas and companies DTCC, DRW, IEX, Nomura, Northern Trust, Standard Chartered, State Street, Visa and Wellington Management .

Earlier, financial technology companies Digital Finance CFC (DFCRC) and Imperium Markets announced they had begun exploring the benefits of asset tokenization for the Australian money and debt capital markets.