Why Big Banks Are Moving to the Solana Blockchain

Bitrue – The convergence of traditional finance and blockchain technology has reached a new milestone. A growing alliance of global banks and asset managers is adopting Solana, a high-performance public blockchain, to tokenize real-world financial assets—marking a pivotal shift in how securities, funds, and equities may be traded and settled in the near future.

Solana Blockchain in Traditional Finance

A key driver of this institutional pivot is the partnership between R3, a UK-based enterprise blockchain software firm, and the Solana Foundation. 

R3, whose clients include HSBC, Bank of America, Euroclear, and central banks such as those of Italy and Singapore, is integrating Solana into its Corda platform. 

The aim is to bridge DeFi (Decentralized Finance) and TradFi (Traditional Finance) using a hybrid architecture: Corda’s permissioned framework ensures regulatory compliance, while Solana delivers open access, speed, and cost efficiency.

This integration supports over $10 billion in tokenized assets, transforming how financial institutions manage and distribute securities across borders.

Tokenization of Securities and Financial Instruments

Solana’s low fees and high throughput make it ideal for tokenizing global equities, bonds, and money market funds. In practice, tokenization allows these assets to be settled faster, collateralized more efficiently, and traded more fluidly—24/7 and without intermediaries.

This presents a powerful alternative to the current system, where settlement delays and administrative bottlenecks cost institutions time and money. By embedding tokenized securities on-chain, banks can release capital, reduce counterparty risk, and improve overall market liquidity.

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Institutional Support and Strategic Endorsements

The move to Solana isn’t a fringe experiment—it’s backed by some of the most influential financial players. Asset managers like BlackRock and Franklin Templeton are supporting the transition, seeing blockchain as foundational infrastructure for modern finance—not just a speculative playground for crypto enthusiasts.

Their support signals a long-term bet on the technology’s ability to replace outdated clearing mechanisms with a more agile, transparent, and programmable settlement layer.

Kraken and the Rise of 24/7 Tokenized Equities

In parallel, US crypto exchange Kraken is preparing to launch tokenized versions of popular US stocks such as Apple, Tesla, and Nvidia on the Solana blockchain. 

These tokenized equities will be tradable around the clock, enabling global retail investors to access markets without needing traditional brokers or observing market hours.

Beyond access, tokenized shares may soon serve as collateral in DeFi protocols, turning them into multifunctional financial instruments within a decentralized economy.

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Ethereum Faces Competition in Institutional Blockchain Adoption

Solana’s institutional rise introduces a credible challenge to Ethereum’s dominance in the tokenization space. 

With faster execution times and significantly lower fees, Solana offers a more scalable infrastructure for banks and asset managers seeking efficient and compliant blockchain solutions.

This shift could recalibrate the competitive landscape, especially as tokenization becomes a core part of next-generation financial infrastructure.

Conclusion

The migration of major banks to the Solana blockchain is more than a technological experiment—it is a structural transformation. 

As tokenization of real-world assets accelerates, Solana’s role as a public settlement layer will expand, merging the speed of decentralized systems with the trust and scale of traditional finance. 

The outcome is a more accessible, efficient, and borderless financial ecosystem.

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FAQ

1. Why are banks choosing Solana over Ethereum?

Solana offers faster transaction speeds and lower fees, making it more scalable for tokenizing traditional assets compared to Ethereum.

2. What does tokenization of assets mean?

It refers to representing real-world financial instruments like stocks and bonds on a blockchain, enabling quicker, more efficient, and programmable transactions.

3. Who is behind the move to tokenize assets on Solana?

The integration is led by R3 in partnership with the Solana Foundation, with support from institutions like HSBC, BlackRock, and Franklin Templeton.

4. Will retail investors benefit from tokenized equities?

Yes—through platforms like Kraken, retail investors will gain 24/7 access to tokenized stocks without needing traditional brokerage services.

5. How does this impact the future of finance?

Tokenizing assets on public blockchains like Solana can streamline operations, reduce costs, and create global, frictionless markets that function beyond traditional hours.