Calastone, a global funds transaction network, has integrated its Tokenized Distribution platform with Polygon's Layer 2 blockchain, enabling on-chain fund share operations with reduced settlement times and costs. This partnership supports institutional-grade fund distribution across Calastone's network of over 4,500 institutions in 58 markets, which processes more than $328 billion in transactions monthly.
The integration allows fund share classes to operate directly on-chain while retaining compatibility with existing administrative workflows, automating processes like issuance, settlement, and compliance. Simon Keefe, Calastone's Head of Digital Solutions, emphasized that this move bridges traditional finance with blockchain efficiencies, stating, "Markets are demanding more efficient, transparent infrastructure, and blockchain is ready to deliver at scale."
Polygon's scalable infrastructure, previously used in tokenization pilots with firms like BlackRock, provides low transaction fees and secure mechanisms for high-volume operations. Additional features and integrations are planned throughout 2025, expanding interoperability and reinforcing tokenized funds as a path toward greater market efficiency and accessibility.
