Digital Asset Secures $355 Million Led by Andreessen Horowitz to Expand Canton Network

Digital Asset, the developer behind the Canton Network, has secured $355 million in fresh funding led by venture capital firm Andreessen Horowitz, marking one of the largest capital raises in the institutional blockchain sector this year.

The funding round attracted participation from a broad group of financial institutions, trading firms, asset managers, and blockchain investors, reflecting growing interest in infrastructure designed to support regulated digital asset markets. According to the company, investors include entities affiliated with the Abu Dhabi Investment Authority, Apollo Funds, BNP Paribas, Broadridge, Citadel Securities, CME Ventures, Coinbase Ventures, Hanwha Investment & Securities, HSBC, Optiver, Polychain Capital, S&P Global, SBI Group, SoFi, Tradeweb, and William Blair.

The investment comes as financial institutions increasingly explore tokenized assets, blockchain-based settlement systems, and digital cash infrastructure capable of operating within existing regulatory frameworks.

Funding Expands Balance Sheet Rather Than Covering Losses

Unlike many blockchain startups that raise capital to fund operations, Digital Asset said it is already profitable. Chief Executive Officer Yuval Rooz stated that the new capital is intended to strengthen the company’s balance sheet and support strategic initiatives rather than address operating deficits.

Key areas expected to benefit from the funding include:

• Expansion of strategic partnerships with financial institutions
• Potential acquisitions and investments in complementary technologies
• Development of new products and services on Canton
• Support for partners building tokenized asset businesses
• Growth of the network’s institutional ecosystem

Market reports previously indicated Digital Asset was seeking funding at a valuation of approximately $2 billion, although final valuation details were officially undisclosed alongside the financing announcement.

Canton Network Targets Institutional Asset Markets

Founded in 2014, Digital Asset has spent more than a decade developing infrastructure focused on financial institutions rather than retail cryptocurrency users. Its flagship product, the Canton Network, operates as a public, permissionless Layer 1 blockchain while incorporating configurable privacy controls intended to meet institutional requirements. The network is designed to allow multiple parties to transact and share data while limiting visibility of sensitive information.

The platform supports applications built using Daml, Digital Asset’s open-source smart contract language, and aims to facilitate workflows involving tokenized securities, funds, collateral, and other financial assets. According to Digital Asset, the network has supported tokenized asset issuance valued at more than $6 trillion. Major market infrastructure providers and financial institutions have either tested or built applications on the platform, including projects involving settlement, collateral management, and asset servicing.

Institutional Blockchain Competition Intensifies

The fundraising arrives during a period of accelerating competition among blockchain networks seeking to serve traditional finance. Over the past two years, banks, exchanges, and asset managers have increasingly shifted from experimentation toward pilot programs involving tokenized bonds, money market funds, private credit products, and stablecoin settlements.

Several large financial institutions are pursuing different approaches:

• Private blockchain networks focused on internal operations
• Permissioned systems with restricted access
• Public blockchains adapted for regulated financial activity
• Hybrid models combining privacy controls with public infrastructure

Canton’s strategy places it in the final category, attempting to balance blockchain interoperability with institutional privacy requirements. Recent developments suggest broader acceptance of the model. Payment giant Visa joined Canton as a validator earlier this year and incorporated the network into a stablecoin settlement initiative alongside several other blockchain platforms.

Investor Base Reflects Long-Term Institutional Strategy

The composition of the funding round may be as significant as its size. Many participating investors are potential users of the network rather than purely financial backers. That distinction highlights a broader trend in blockchain infrastructure financing, where strategic adoption opportunities increasingly influence investment decisions.

Digital Asset has gradually assembled a roster of institutional investors through multiple financing rounds. In 2025, the company raised $135 million from investors including DRW Venture Capital and Tradeweb Markets, followed by an additional $50 million round backed by financial institutions such as BNY Mellon, Nasdaq, S&P Global, and iCapital.

The latest financing suggests that institutional blockchain infrastructure remains one of the few areas within the digital asset sector continuing to attract substantial capital despite ongoing uncertainty surrounding broader cryptocurrency markets.