Mizuho Financial Group
Mizuho, Nomura, Japan Securities Clearing Corporation and Digital Asset said they would test 24/7 collateral transfers in Japanese government bonds on the Canton Network, keeping the bonds' legal status under the Book-Entry Transfer Act.
- Status
- Live
- Announced
- (announcement)
- Stage
- Test
- Chain or network
- Canton Network
- Participants
- Nomura Holdings, Japan Securities Clearing Corporation, Digital Asset Holdings
- Next review
Scorecard
As of the review on . How pilots are scored
| Ledger | Private ledger |
|---|---|
| Settlement | No cash leg |
| Access | Closed |
| Legal standing | Mirrors an off-ledger record |
| Scale | Simulated |
What they said they would do
- OpenVerify, legally and in practice, whether rights transfers and book-entry record updates across several tiers of account management institutions can be run on a blockchain, keeping JGBs' legal status under the Book-Entry Transfer Act and the Financial Instruments and Exchange Act.
- OpenCover cross-border transactions, and collateral transfers among clearing houses, institutional investors, clients and agents.
Review history
Live Test
The FSA says Mizuho and others began the test in April 2026. No results or transactions have been published. Collateral transfers have no cash leg, so settlement is none.
What was announced
On 20 April 2026 Mizuho Financial Group, Nomura Holdings, Japan Securities Clearing Corporation (JSCC) and Digital Asset Holdings launched a proof of concept for collateral management in Japanese government bonds (JGBs) on the Canton Network. The test is to verify, legally and in practice, whether rights transfers and updates to book-entry records across several tiers of account management institutions can run on a blockchain while the JGBs keep their legal status under the Act on Book-Entry Transfer of Corporate Bonds and Shares and the Financial Instruments and Exchange Act. It covers cross-border transactions and transfers among clearing houses, institutional investors, clients and agents, and will consider changes to internal rules and functions needed for commercial use. The partners said it is part of the case the Financial Services Agency (FSA) took on in February 2026 under its Payment Innovation Project.
How it works
Existing systems are integrated with Canton, supported by Digital Asset, and the book-entry record stays the legal record of ownership, so legal is twin. Canton is a permissioned network outside Ethereum’s execution environment, so ledger is private. The participants are the four firms, so access is closed. Moving collateral involves no payment, so settlement is none.
Record so far
The FSA’s 30 September 2026 briefing paper says Mizuho and others began the test in April 2026, under the second Payment Innovation Project case that the FSA took on on 13 February 2026 for Nomura Securities, Daiwa Securities and the three megabank groups. No results have been published.
For Ethereum
The partners chose Canton, not an EVM network, for JGB collateral, as did MUFG’s JGB repo test in August 2026. The release describes Canton as “the only blockchain purpose-built for institutional finance”; that is Digital Asset’s description, and Digital Asset is a party to the test.
What to watch
Published results, any change JSCC makes to its rules to accept collateral on chain, and a first transfer with real value, which would move stage to pilot.