Solana Foundation launches institutional-grade settlement standard Solana DvP, with JPMorgan participating in design recommendations.

BlockBeats news, October 6th, according to the Solana Foundation's official announcement, it has launched Solana DvP (Delivery-versus-Payment), an open-source escrow program for financial institutions, providing them with a Solana-based delivery-versus-payment (DvP) settlement API.

Solana DvP is released under the MIT license, aiming to bring the settlement certainty required by financial institutions to public blockchain infrastructure, achieving atomic settlement, isolated escrow, and deadline control through a standardized solution. The Solana Foundation stated that previously, institutions conducting transaction settlements on-chain typically relied on customized smart contracts, while Solana DvP attempts to replace this model with a unified standard.

J.P. Morgan provided the Solana Foundation with input on institutional settlement practices and needs. The Solana Foundation stated that the project combines J.P. Morgan's experience in securities settlement with Solana's performance in the tokenization of real-world assets.

The Solana Foundation stated that DvP is the fundamental mechanism for securities settlement, ensuring that assets and cash are transferred simultaneously, thereby eliminating principal risk. Traditional markets typically require multiple steps involving clearing agencies, depositories, and custodians, with settlement potentially taking days and tying up funds, whereas Solana DvP aims to compress this process into a single atomic transaction, where assets and funds are settled simultaneously or the transaction does not complete at all, and finality can be achieved within seconds.

According to the introduction, Solana DvP supports SPL Token and Token-2022, and supports extended features required by regulated issuers such as permanent delegation, pausable tokens, and Transfer Hooks. Any two-party counterparties can use the program through settlement agents such as banks, custodians, or trading platforms.

The Solana Foundation stated that Solana DvP has completed an external security audit, is now ready for real fund usage, and plans to further add privacy features to enable private and confidential transaction settlements. The Solana Foundation is currently recruiting design partners and early participants to prepare for the official launch.