Solana Foundation releases Solana DvP, an open-source escrow program for atomic delivery-versus-payment
Serguey Asael Shinder1 min readThe Solana Foundation announced on 6 October Solana DvP, an open-source escrow program for delivery-versus-payment settlement on Solana, aimed at banks and other financial institutions.
What it does. Delivery-versus-payment means the asset and the cash move together, so neither side is exposed to the other failing to deliver. Solana DvP does this in a single atomic transaction: both legs settle, or neither does. The program provides isolated escrow and enforces deadlines. The foundation contrasts this with traditional markets, where clearing houses, depositories and custodians take one to two days, and with on-chain institutional trades so far, which have usually relied on bespoke smart contracts. Its pitch is one shared standard instead.
What it supports. SPL Token and Token-2022, including extensions that regulated issuers rely on, such as permanent delegate, pausable tokens and transfer hooks. Any two counterparties can use it with any settlement agent, whether a bank, a custodian or an exchange.
Status. The program is released under the MIT licence, has undergone external security audits, and the foundation says it is ready for use with real funds. It plans to add privacy so that settlements can be confidential, and is inviting design partners ahead of a production release.
J.P. Morgan's role. The foundation says J.P. Morgan provided input on institutional settlement practices. A disclaimer in the announcement states that this involvement was limited to that input and does not mean J.P. Morgan designed, operates, approves or guarantees the program.
For issuers of tokenised assets on Solana, a common audited escrow means one less contract to write and have audited per deal. Whether institutions adopt it will depend less on the code than on whether their settlement agents agree to use it.