iBTC to enable Bitcoin-based margin flows on Canton Network
24 March 2025 US
Image: Julie/stock.adobe.com
iBTC, a bridgeless wrapped Bitcoin solution, will deploy on the Canton Network.
The collaboration brings Bitcoin-based assets on-chain, allowing institutional counterparties to use them for initial margin (IM) and variation margin (VM) solutions.
According to the Canton Network, it unlocks new opportunities and simplifies the integration of Bitcoin into over-the-counter derivatives trading.
The solution is designed to 鈥渞evolutionise鈥� decentralised finance with institutional-grade security and liquidity.
Once integrated, market makers will be able to deposit Bitcoin into Canton by wrapping it into iBTC. Counterparties can then engage in margin workflows, using iBTC for IM and VM in trading options and structured products.
iBTC participants can generate yield opportunities through application rewards within the Canton ecosystem.
The rollout of iBTC on Canton will initially involve a select group of institutional counterparties, with plans to scale participation to 10-20 firms processing US$20-50 million in daily trading volume.
As part of the integration, iBTC will operate a Canton Network Validator, which offers additional incentives and mining rewards.
This initiative aligns iBTC with the network鈥檚 infrastructure and enhances transaction finality for institutional traders, says the Canton Network.
Eric Saraniecki, head of network strategy at Digital Asset, says: 鈥淭he iBTC-Canton integration represents a significant advancement in institutional Bitcoin adoption in the financial markets.
鈥淏y delivering a scalable solution for Bitcoin-based margin flows with configurable privacy on the Canton Network, institutional counterparties can efficiently deploy BTC in structured products and derivatives trading.鈥�
Aki Balogh, CEO and co-founder of iBTC, adds: 鈥淎t iBTC, we鈥檙e proud to offer institutions a secure way to tap Bitcoin as collateral, and joining the Canton Network is expanding our ability to do so.鈥�
The collaboration brings Bitcoin-based assets on-chain, allowing institutional counterparties to use them for initial margin (IM) and variation margin (VM) solutions.
According to the Canton Network, it unlocks new opportunities and simplifies the integration of Bitcoin into over-the-counter derivatives trading.
The solution is designed to 鈥渞evolutionise鈥� decentralised finance with institutional-grade security and liquidity.
Once integrated, market makers will be able to deposit Bitcoin into Canton by wrapping it into iBTC. Counterparties can then engage in margin workflows, using iBTC for IM and VM in trading options and structured products.
iBTC participants can generate yield opportunities through application rewards within the Canton ecosystem.
The rollout of iBTC on Canton will initially involve a select group of institutional counterparties, with plans to scale participation to 10-20 firms processing US$20-50 million in daily trading volume.
As part of the integration, iBTC will operate a Canton Network Validator, which offers additional incentives and mining rewards.
This initiative aligns iBTC with the network鈥檚 infrastructure and enhances transaction finality for institutional traders, says the Canton Network.
Eric Saraniecki, head of network strategy at Digital Asset, says: 鈥淭he iBTC-Canton integration represents a significant advancement in institutional Bitcoin adoption in the financial markets.
鈥淏y delivering a scalable solution for Bitcoin-based margin flows with configurable privacy on the Canton Network, institutional counterparties can efficiently deploy BTC in structured products and derivatives trading.鈥�
Aki Balogh, CEO and co-founder of iBTC, adds: 鈥淎t iBTC, we鈥檙e proud to offer institutions a secure way to tap Bitcoin as collateral, and joining the Canton Network is expanding our ability to do so.鈥�
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