Solana DvP and Cardano’s Programmable RWA Transfers

Solana Foundation announced Solana DvP on October 6, introducing an open-source program that settles tokenized assets and payments together. Cardano already supports the transaction architecture for atomic exchange, while CIP-113 adds a framework for the ownership restrictions regulated assets require.

Solana DvP Standardizes Institutional Settlement

Delivery versus payment connects asset delivery with its agreed payment. In atomic settlement, both transfers execute together or the exchange does not occur. This eliminates the principal risk of one party delivering an asset without receiving the agreed consideration.

Solana DvP records the counterparties, tokens, amounts, destinations, and timing conditions of a trade. Buyer and seller fund separate escrow accounts through ordinary token transfers. A designated settlement authority then executes both legs in one transaction.

Destinations are fixed in advance, preventing the authority from redirecting proceeds during settlement. Participants can also recover their funded assets before settlement.

The program supports SPL Token and Token-2022, including certain issuer controls. Compatibility depends on token configuration, with TransferFee and ScaledUiAmount extensions currently excluded. The code is available under the MIT license and has been audited by Cantina. Solana Foundation is inviting early participants ahead of the production release, with confidential settlement listed as a planned addition.

J.P. Morgan contributed expertise on securities settlement practices. Its involvement was limited to advisory input, without operating the program or guaranteeing its performance.

Cardano Builds Atomic Exchange Into Its Asset Architecture

Cardano tracks ownership and transfers of native tokens directly in its ledger, alongside its native currency, ADA. Basic transfers do not require a separate smart contract for each token, and one transaction can contain multiple asset types.

The eUTXO model connects previously created transaction outputs with new ones. Each output can be spent only once, while scripts validate the conditions under which it can be consumed. Developers can construct an exchange in which a buyer receives a tokenized bond and the seller receives a stablecoin, with amounts and recipients checked within the same transaction.

This gives Cardano’s RWA applications an existing foundation for settlement. Asset accounting remains a ledger function, while applications add trade conditions and validation. Issuers can build financial workflows around native assets without implementing their basic ownership accounting inside individual token contracts.

The model also allows transaction validity and fees to be checked before submission. If another transaction consumes an expected input, the transaction must be rebuilt. Predictability applies to the known inputs and execution conditions, supporting verification of a proposed exchange before signing.

CIP-113 Connects Asset Transfers With Issuer Rules

Tokenized securities may require holders to meet identity, jurisdiction, or investor eligibility requirements. Ordinary Cardano native tokens move freely between addresses after issuance. CIP-113 introduces script validation when ownership changes, allowing issuers to define additional transfer conditions.

The proposal was merged into the main Cardano Improvement Proposals repository on September 29 and retains its Proposed status. The Cardano Foundation’s reference implementation connects native assets with a registry and validation scripts. Issuer modules can add allowlists, denylist checks, freezes, or forced transfers using existing network capabilities, without a hard fork.

Wallets and trading applications must integrate those checks. Programmable tokens use a script address and additional validation, requiring applications to adapt ownership displays and transaction construction.

Institutional access is also expanding through Fireblocks’ announced support for Cardano native tokens, expected by March 2027. Banks, exchanges, and payment firms would gain custody and transfer capabilities through existing security controls. Fireblocks has supported ADA since 2021, although the new announcement does not separately confirm CIP-113 support.

For a Cardano DvP application, native asset accounting, atomic transactions, and programmable transfer rules provide distinct components of the same settlement workflow. In a bond-for-stablecoin exchange, the transaction can require both the agreed payment and proof that the recipient satisfies the bond issuer’s rules. Asset delivery and payment then execute together, with eligibility checked before the security changes hands.