Calastone Selects Polygon for Tokenised Fund Share Distribution
The global funds-distribution network Calastone has integrated its Tokenised Distribution answer with the Polygon blockchain, enabling institutional-scale issuance and settlement of tokenised fund share classes through Polygon. Calastone processes more than £250 billion in transaction value every month and serves over 4,500 financial institutions across 58 markets. Its decision to adopt Polygon reflects a strategic shift toward bringing tokenised fund infrastructure into production across major asset-management workflows.
Institutional tokenisation onchain: design and drivers
Calastone’s Tokenised Distribution platform enables asset managers to convert any fund on its network into a tokenised share class without altering its structure, administration or servicing operations. The integration of Polygon as a settlement layer introduces near-instant finality, low-cost execution, and scalability that suits high-volume fund flows. This structure allows managers and distributors to reduce settlement times, lower operational expenses, and expand distribution channels to include onchain treasuries and digital-native platforms. Polygon’s compatibility with standard EVM tooling also supports seamless integration without requiring disruptive operational changes.
By keeping Calastone’s existing regulatory and infrastructure controls intact while adding a blockchain execution layer, the setup aims to give asset managers a low-friction path into tokenisation. This offers potential benefits such as enhanced distribution efficiency, programmable fund logic, and the ability to issue fractionalised share classes for new investor segments.
Implications for the asset-management and token-economy ecosystem
Calastone’s move demonstrates how traditional fund distribution may evolve as tokenisation infrastructure becomes production-ready. By using Polygon, the company provides a model for shifting from multi-day settlement cycles toward near-real-time execution, opening possibilities for greater liquidity, more efficient fund transfers, and new fund structures. The approach also aligns with the broader industry trend of merging traditional finance infrastructure with blockchain rails.
Market participants will monitor how tokenised share classes interact with custody systems, compliance frameworks, fund accounting processes and investor-protection requirements. While tokenisation offers efficiency gains, it also introduces operational considerations regarding token mechanics, governance controls and integration across front-to-back office systems.
For Polygon, the integration marks one of the largest institutional deployments of blockchain within the asset-management sector. With thousands of institutions already connected to Calastone’s network, the transition places Polygon in a central position for the next wave of tokenised asset expansion. It reinforces Polygon’s momentum in real-world asset tokenisation, institutional payments and large-scale enterprise blockchain applications.
In summary, Calastone’s adoption of Polygon for tokenised fund distribution represents a material advancement in bridging traditional fund infrastructure with onchain execution. If the model gains traction, it could accelerate tokenisation across global fund markets by reducing friction, improving settlement efficiency and expanding investor access. The next developments to watch include adoption rates among asset managers, the rollout of new tokenised share classes and the operational performance of cross-border settlement using Polygon.
