S&P Dow Jones Indices has tokenized its iBoxx US Treasuries Index on the Canton Network, making a major fixed-income benchmark available as a digital asset. This signals a significant shift toward onchain data infrastructure in traditional finance.
Kaiko, a provider of digital asset market data, supports the tokenization and onchain delivery of the index. The iBoxx US Treasuries Index is a widely used benchmark that tracks the performance of US government bonds across different maturities.
The tokenized index is not an investable product. Instead, it's designed for financial institutions building digital products, allowing them to integrate benchmark data, including pricing and index levels, directly into blockchain systems.
S&P will continue to control access and use of the gauge, with permissions built into the token itself. The companies said the approach could be expanded to other indexes as interest in blockchain-based financial systems grows.
Canton Network is a public blockchain focused on institutional use, with more than 600 participating institutions and validators. It's backed by Goldman Sachs and Citadel.
The choice to start with the iBoxx index is deliberate. S&P and Kaiko said US Treasury bonds are becoming the 'base layer' for onchain financial systems, reflecting their growing role as collateral. More than $12.5 billion worth of Treasurys have already been tokenized onchain.