The Solana Foundation has released an open-source delivery-versus-payment program designed to exchange a tokenized asset and its payment in a single Solana transaction.
Announced October 6, Solana DvP uses separate escrow accounts for the asset and cash legs. A designated settlement authority can complete both transfers together; if the transaction fails, neither transfer takes effect. The program is available under the MIT license, and Solana’s documentation identifies deployments on both mainnet-beta and devnet.
The release gives financial institutions and infrastructure providers a reusable settlement component instead of requiring each participant to build a bespoke smart contract. It does not, however, create the tokenized assets, supply cash-equivalent liquidity, perform custody or establish the legal finality of an underlying securities trade.
How the settlement flow works
Two counterparties first agree the trade terms offchain. One party funds an escrow account with the asset leg and the other funds a second escrow with the payment leg using ordinary token transfers. A settlement authority named in the trade record—potentially a bank, custodian, exchange or other agent—then signs the settlement instruction.
Solana’s documentation says the authority cannot redirect the proceeds: settlement transfers the agreed amounts to the counterparties, returns any surplus to the party that funded it and closes the trade record and escrow accounts. Either party can reclaim its own funded leg before settlement, while the authority can cancel the trade. An expiry timestamp prevents settlement after the agreed deadline.
The atomic design addresses principal risk at the transaction layer by preventing one leg from completing without the other. That is narrower than eliminating counterparty risk altogether. Institutions still need controls for identity, sanctions screening, asset eligibility, custody, key management, erroneous trade terms, offchain contractual obligations and the solvency or redeemability of any payment token.
Token support comes with constraints
The program supports trades involving the original SPL Token standard, Token-2022 and wrapped SOL. It can pair legs governed by different token programs and accepts some Token-2022 controls relevant to regulated issuers, including pausable tokens, permanent delegates, transfer hooks and frozen-account configurations.
Compatibility is not universal. The technical documentation says mints using transfer fees, interest-bearing balances, scaled user-interface amounts or non-transferable settings are rejected. In particular, the program is not compatible with assets created from the Solana Foundation’s current Mosaic tokenized-security template because that template uses the scaled-amount extension. Operators will therefore need to test each proposed asset and payment token rather than treating Token-2022 support as blanket compatibility.
Solana says the program was audited by Cantina, and the source code, interface definition, generated clients and tests are public on GitHub. The audit and open code improve the material available for due diligence, but they are not guarantees against defects. The program is also upgradeable, so institutions must assess the upgrade authority and change-management process alongside the deployed code.
J.P. Morgan advised on practices, not the product
J.P. Morgan provided input on institutional securities-settlement practices and requirements, according to the Solana Foundation. The announcement’s disclaimer says the bank did not design, develop, operate, approve, certify, endorse or guarantee the program or its performance. That distinction is important: the bank’s involvement is evidence of industry consultation, not adoption or validation of a production service.
The Foundation says the program has undergone external security review and is ready for use with real funds. In the same announcement, it invited design partners and early participants ahead of a production release. Taken together, those statements indicate available software and mainnet deployment, but not a completed institutional production rollout. No customer deployments, settled transaction values, supported legal jurisdictions or commercial service levels were disclosed.
What payments and market-infrastructure teams should watch
Solana DvP standardizes the onchain exchange step, which could reduce integration work for tokenized-asset pilots and create a common interface for wallets, custodians and settlement agents. Its operational value will depend on the systems around it: reliable token issuance and redemption, compliant participant access, transaction monitoring, reconciliation, recovery procedures and integration with books and records.
Privacy is another open issue. The Foundation said confidential settlement is planned, meaning the current release should not be assumed to hide trade details. Institutions evaluating the program will also need evidence from live use—such as transaction success rates, exception handling and liquidity performance—before concluding that atomic execution translates into lower end-to-end settlement risk or cost.