Beyond T+2.
Securities Finance, settled in one block.
DeSecFi extends institutional Securities Finance platforms — Sec Lending and REPO — with a programmable settlement layer. Book, mark, adjust, settle — every state transition recorded on-chain, every asset move delivery-vs-payment in a single transaction.
Treasuries · equities · bonds · stablecoins · money market funds · wrapped BTC · RWAs — the full Securities Financing Transactions (SFT) collateral universe, priced by Chainlink, gated by ERC-3643 compliance. Same building blocks as DTCC's Collateral AppChain (Hyperledger Besu + Chainlink) — interop-ready by design.
What an institutional Securities Finance chain has to do.
DTCC's Collateral AppChain (Hyperledger Besu + Chainlink) defines the institutional bar. DeSecFi runs on the same building blocks (EVM + Chainlink + ERC-3643) and adds the lifecycle layer on top — for both Sec Lending and REPO, as independent modules.
Automated eligibility & haircuts
liveCollateralRegistry per-asset acceptance, haircut bps, and Chainlink price feeds. valueUSD returns risk-adjusted exposure on demand.
Instant atomic settlement
liveSettlementCoordinator pulls collateral, transfers the ERC-3643 security, records escrow, marks the loan ACTIVE — all in one block. No T+2.
Dynamic valuation & MTM
liveChainlink Functions fetches live prices off-chain; gateway pushes daily marks. Shortfalls auto-flag margin calls.
Compliance at the token layer
liveERC-3643 identity registry gates transfers. Non-verified counterparties revert at the token level — compliance is cryptographic, not procedural.
Hierarchical margin distribution
liveCCP → clearing member → buy-side. Role-gated state machines distribute margin calls down the chain in one transaction.
Real-time cross-chain reallocation
plannedChainlink CCIP for collateral moves between vaults across chains. Architecture in place; cross-chain wiring lands with the L2 gateway.
From book to close. Three steps.
The Securities Finance lifecycle compresses into three on-chain transitions — powered by six purpose-built workflow contracts (see Architecture below). The trading platform stays the brain — risk, pricing, matching — while the chain handles atomicity and compliance. Sec Lending and REPO ship as independent modules — pick one or both.
Sec Lending: locate → loan opens atomically. REPO: cash provider funds, repo provider pledges collateral. ERC-3643 enforces compliance at the token layer in either case.
One transaction: collateral pulls into vault, the security (or cash leg for REPO) moves between counterparty wallets, escrow records state, locate burns. No T+2, no half-state.
Daily marks via Chainlink Functions. Bilateral rate change · recall + return (Sec Lending) · roll + settle (REPO) · default. All on-chain state transitions, all auditable, all settlement-final.
DTCC-aligned, provider-agnostic.
DTCC's Day-1 Wallet Rules are provider-agnostic: firms don't need a special “DTCC wallet.” The 57-firm Industry Working Group has named the institutional custody platforms below as confirmed Day-1 participants — actively testing interoperability with the DTCC ledger ahead of launch. DeSecFi integrates one connector per vendor; every customer of that vendor can transact with no further onboarding.
Additional DTCC-aligned and bank custody platforms (BNY Mellon, State Street, Fidelity, JPM Kinexys, Citi, Northern Trust, Goldman DAP, Anchorage Digital Bank, Coinbase Custody, Komainu, Ceffu, Hex Trust, Copper, Zodia, Safe multisig, Ledger Enterprise) follow the same one-connector-per-vendor pattern and are on the integration roadmap.
Every asset class institutions actually post.
Aligned with the DTCC Collateral AppChain eligibility list. Each class plugs into the same CollateralRegistry with its own haircut and Chainlink price feed.
Six workflow contracts. Both products.
Each module is intentionally thin — state, events, role-gated transitions. The same six contracts handle Sec Lending and REPO via field remapping (cash provider/taker for REPO maps to lender/borrower under the hood); the UI surfaces them as independent product modules. Pricing and risk logic lives off-chain in the institutional platform; on-chain we record canonical state.
Sec Lending only — pre-trade inventory hold. Lender approves a quantity for a specific borrower with an expiration; consumed atomically when the loan settles. (REPO doesn't use locates.)
deployedLifecycle state machine. Proposed → Active → Recall/Roll → Returning → Closed. Same struct handles Sec Lending loans AND REPO contracts via field remapping (REPO's cash leg maps to the loan's security field, FI collateral to the collateral field). Records rate, term, counterparties.
deployedMulti-asset escrow. Holds stablecoin, tokenized cash, or tokenized securities; tracks required vs posted USD per loan.
deployedRecords the loaned-out state of ERC-3643 securities (Sec Lending) or the cash leg recipient (REPO). Tracks counterparty, quantity, return lifecycle for audit and reporting.
deployedThe only contract that moves assets. Performs atomic delivery-vs-payment in one transaction. Sec Lending: security flows lender → borrower, collateral into vault. REPO: cash flows cash provider → repo provider, collateral pledged. Same contract, both products.
deployedAccepted-collateral configuration. Per-token haircut, Chainlink price feed, minimum posting size. Pluggable list maintained by the agent role.
deployedThe full institutional stack
Identity, compliance, settlement and orchestration — every layer live on Avalanche Fuji. This is institutional-grade programmable finance.
Self-sovereign identity (ERC-734/735). Verifiable KYC/AML claims attached per wallet.
On-chain KYC gate. Every token transfer checks verified-holder status before it can settle.
Compliance-aware tokens (T-REX). Transfers to a non-verified wallet revert on-chain.
Locate · Loan · Collateral · Escrow · Settlement. Atomic delivery-versus-payment.
Functions (mark-to-market) · CCIP (cross-chain collateral) · Data Streams (pricing).
Programmable orchestration: matching, batch MTM, full lifecycle automation.
Controls enforced on-chain, not in the UI.
Entitlements, identity, and settlement policy live in the contracts — so they can't be clicked around. Permissioning by counterparty and role, privileged actions behind role-based access control, and settlement automation set per firm.
Permissioned access
- Every counterparty entitled per product (Sec Lending / REPO) and per role on-chain — ProductRegistry, not a UI flag.
- Privileged actions sit behind role-based access control (AGENT_ROLE); the admin grants and revokes agents.
- A firm can be a lender on one desk and a borrower on another — roles are product-specific.
Compliance-native tokens
- Securities are ERC-3643 (T-REX): every transfer checks identity + compliance rules.
- A transfer to a non-verified wallet reverts at the token layer — compliance is cryptographic, not procedural.
- Built on ONCHAINID (ERC-734/735) for verifiable KYC / jurisdiction claims.
Configurable automation
- Settlement policy set per counterparty at onboarding — e.g. auto-settle under $10M notional, human sign-off above.
- Per-product policy + counterparty allow-lists — auto-settle GC, manual on REPO, your call.
- Same contracts support fully-manual, fully-automated, or threshold-based — no redeploy.
Built for regulated brokers, prime services, and asset managers. Not a permissionless money market.
ERC-3643 identity registries enforce KYC/jurisdiction at the token level. Non-verified transfers revert, not warn.
Price feeds for valuation, CCIP for cross-chain, Functions for off-chain compute, Data Streams for high-frequency MTM. Same primitives DTCC's Collateral AppChain (Hyperledger Besu + Chainlink) uses — we're EVM-native, ready to interop.
Run the institutional workspace
Connect a wallet on Avalanche Fuji. Drive a full Sec Lending or REPO lifecycle end-to-end in under a minute — book, mark, adjust, settle. Every step verifiable on snowtrace.