Solana Foundation Launches Open Source DvP Program for Instant Institutional Settlement

The Solana Foundation has unveiled Solana DvP, an open-source delivery versus payment program that lets institutions settle trades atomically on-chain, with finality in seconds instead of days. In traditional markets, assets and cash pass through clearinghouses and custodians over one to two days, which ties up capital and leaves room for principal risk. Solana DvP folds those steps into a single transaction, so both sides of a trade settle together or not at all.

Neither party can default after receiving the asset or the cash. The program also replaces the custom, one off smart contracts institutions have had to commission for each on chain deal. Catherine Gu, head of product for digital assets at the Foundation, said it gives institutions one open standard on public infrastructure.

JPMorgan’s Role in the Settlement Standard

JPMorgan shared decades of settlement knowledge, shaping requirements around deadlines, escrow isolation and Token-2022 features such as pausable tokens and transfer hooks. Rhodel D’souza, head of markets digital assets at J.P. Morgan, called a shared open standard foundational infrastructure for institutions. Solana has already hosted a J.P. Morgan-arranged commercial paper deal for Galaxy Digital settled in USDC.

Competing On-Chain DvP Models and Privacy Plans

Solana’s program is not the first of its kind, but it stands out as an open standard on public infrastructure. JPMorgan’s Kinexys tested a cross-chain DvP trade with Ondo Finance, and ClearToken launched DvP settlement on the Canton Network using permissioned applications. The Foundation says its program has passed external security audits and is ready for real funds, with privacy features planned to keep settlements confidential, something institutions have called key to adoption.