TL;DR
- Canton Network launched its Proof of Transfer API, which allows users to verify the status of transactions involving private assets without exposing confidential data.
- Bybit and DA Registry have already integrated the API, enabling their users to independently confirm whether a transfer is pending, completed, or failed.
- The tool eliminates a critical barrier to institutional adoption by combining selective privacy with verifiability on real-time interoperable infrastructure.
The Canton network has faced, since its design, a structural tension that runs through the entire institution-focused crypto industry: how to guarantee real privacy in transactions without sacrificing the ability to verify that those transactions actually took place.
To resolve that dilemma, Digital Asset introduced the Proof of Transfer API within DA Registry, a tool that allows users to independently confirm the status of a transfer without revealing the underlying data of the operation.
Canton’s architecture operates under a principle of selective disclosure: the information of each transaction is only visible to the parties entitled to see it, unlike public networks such as Ethereum where any observer can inspect the complete transaction history.
That confidentiality is precisely what makes Canton suitable for institutional markets, where commercially sensitive data cannot be exposed to competitors or broader markets.
Canton Delivers Verifiability Without Exposing Sensitive Data
The API functions as an autonomous verification layer. Wallets and exchanges direct their users to any blockchain explorer compatible with the API, where they can enter the Transfer Object of a transaction to check its status: successful, pending, failed, or in an error state. The resulting experience is comparable to tracking a shipment or a payment, without necessarily requiring the disclosure of confidential information.
The benefits span three dimensions. In terms of adoption, the API removes a critical barrier for exchanges and wallets to support privacy-enabled assets and facilitates their listing on more platforms, expanding liquidity within the ecosystem. In terms of risk, counterparties can independently confirm that assets reached the correct recipient, reducing disputes. In terms of user experience, autonomous verification builds greater confidence when operating with private assets.
Bybit integrated the API to allow its users to verify transfers between exchanges and wallets involving assets such as USDCx, the privacy-enabled version of USDC available on Canton. DA Registry also integrated it natively, extending that capability to all assets issued through its platform.
