Blockchain venture R3 partners with Solana to shift focus to public blockchain technology.
The enterprise blockchain firm R3 has partnered with the Solana Foundation in a strategic move that connects R3’s permissioned Corda platform, designed for regulated financial institutions, with Solana’s high-performance public blockchain. This collaboration aims to develop an enterprise-grade consensus service on Solana’s Layer 1 network, enabling traditional financial institutions to access public blockchain infrastructure while maintaining regulatory compliance for tokenizing real-world assets (RWAs).
This partnership is significant as R3’s Corda platform already supports over $10 billion in on-chain RWAs and processes a million transactions daily, demonstrating strong adoption among regulated entities. By linking with Solana—known for its low-latency transaction processing, high throughput, and stablecoin ecosystem—R3 enables regulated institutions to leverage Solana’s scalable public infrastructure for asset tokenization and settlement with compliance safeguards intact. This integration bridges the gap between regulated, permissioned blockchain environments and the scalable, decentralized public blockchain ecosystem, fostering interoperability and blending traditional finance (TradFi) with decentralized finance (DeFi) applications.
The partnership could unlock new liquidity and settlement options for traditional financial institutions, potentially reshaping financial markets through increased transparency, efficiency, and liquidity. Regulated institutions such as banks (e.g., HSBC, Bank of America) can now participate in public blockchains without sacrificing compliance requirements inherent in traditional finance. The enterprise-grade consensus and privacy features facilitate adherence to regulatory standards and mitigate operational risks, easing regulators’ concerns about DeFi risks.
Lily Liu, President of the Solana Foundation, has been appointed to R3's board of directors, further strengthening the collaboration. The partnership was framed by R3 CEO, David Rutter, as a response to the shift of JP Morgan's early interest in R3 toward a permissioned version of Ethereum. Rutter selected Solana following an extensive evaluation of decentralized protocols, potentially reflecting technical considerations and past skepticism of Ethereum.
Ten industry bodies representing incumbent institutions have written to the Basel Committee on Banking Supervision requesting a revisit of crypto-asset treatment standards, signaling a potential shift in the regulatory landscape for public blockchains. This partnership could pave the way for a more integrated regulatory framework where public and permissioned blockchains coexist, supporting regulated asset tokenization at scale and fostering broader institutional blockchain adoption.
In summary, the R3–Solana partnership bridges permissioned enterprise blockchains and public Layer 1 blockchain infrastructure, driving innovation in regulated asset tokenization, improving interoperability, and accelerating the institutional adoption of blockchain technology—all while addressing regulatory compliance challenges facing traditional financial institutions. This collaboration is a pragmatic response to market realities, aiming to link DeFi and TradFi ecosystems, deliver real-world utility, and shape the long-term future of regulated markets.
- R3's latest partnership with the Solana Foundation, connecting R3's Corda platform with Solana's high-performance public blockchain, has the potential to develop an enterprise-grade consensus service on Solana's Layer 1 network.
- This collaboration allows traditional financial institutions to access public blockchain infrastructure while complying with regulatory requirements for tokenizing real-world assets.
- As R3's Corda platform already supports over $10 billion in on-chain real-world assets and processes a million transactions daily, its link with Solana provides a scalable public infrastructure for asset tokenization and settlement.
- The partnership could lead to new liquidity and settlement options for traditional financial institutions, potentially redefining financial markets with increased transparency, efficiency, and liquidity.
- The appointment of Lily Liu, President of the Solana Foundation, to R3's board of directors, strengthens the collaboration and signals a potential shift in the regulatory landscape for public blockchains.
- As ten industry bodies request a revisit of crypto-asset treatment standards, this partnership could pave the way for a more integrated regulatory framework where public and permissioned blockchains coexist, supporting regulated asset tokenization at scale and fostering broader institutional blockchain adoption.
