Solana Foundation Unveils Institutional Settlement Program

The Solana Foundation has introduced Solana DvP, an open-source settlement program designed for financial institutions. This initiative aims to streamline asset and cash transfers by ensuring atomic settlement, which provides finality in seconds rather than days.

The program replaces customized smart contracts with a standardized on-chain solution for institutional trades. According to Catherine Gu, Head of Product for Digital Assets at Solana Foundation, atomic settlement eliminates counterparty risk, a common issue in traditional finance. Solana DvP offers institutions a unified standard across the Solana ecosystem, operating on public infrastructure.

J.P. Morgan contributed expertise on institutional settlement requirements and securities market practices. Rhodel D’souza, Head of Markets Digital Assets at J.P. Morgan, emphasized the importance of a shared, open standard for atomic delivery-versus-payment to reduce settlement risk and counterparty exposure.

Solana DvP supports SPL Token and Token-2022, including features used by regulated issuers. The program has undergone external security audits and is now ready for use with real funds. Following the announcement, the price of SOL decreased by 1.5%, trading at $119.79.