Canton Foundation Launches Protocol Development Fund

New program to fund tooling and infrastructure contributions from the Canton community

The Canton Network Development Fund is now open – accelerating high-quality contributions to the Canton Network ecosystem. The fund will support core research and development across everything from developer tools, security enhancements, audits and reference implementations to DeFi app(s), liquidity seeding, critical infrastructure and more. The aim of the fund is to encourage open development that continues to increase utility and value for the network at large.

The program was launched following a series of Canton Improvement Proposals (CIPs), which were voted on and approved through the Canton Foundation’s governance process.

Keeping pace with Canton’s growth

Canton adoption and activity is scaling fast. The fund will ensure the network’s ongoing development keeps pace through transparent, predictable, Foundation-facilitated governance, with active community participation. Its purpose is to continuously and rapidly augment and build long-term resilience of the network foundations – ahead of potential proposals for broader ecosystem or application-level funding initiatives.

“With the Canton Protocol Development Fund, we are focused on supporting development that makes Canton stronger for everyone.”

Melvis Langyintuo Executive Director, Canton Foundation

The Canton Foundation’s Role

In other networks, grants programs are usually funded from a premined pool, or a large treasury. Canton Coin was fair-launched, and so no centralized pool or treasury was set aside for grants. Instead, through the Canton Foundation’s governance process, Super Validators voted and approved to programmatically reallocate 5% of future Canton Coin supply to fund additional work with a durable, predictable funding source (See CIP 82 and CIP 100 for more details).

• The Canton Foundation administers this fund for the network as a neutral facilitator
• A Tech & Ops Committee, within the Canton Foundation, comprising member companies from across the ecosystem will independently evaluate proposals, approve funding, and oversee milestone delivery.

Funding is allocated quarterly and denominated in Canton Coin, and work is funded against clearly defined milestones. This structure is designed to balance openness with accountability, and flexibility with discipline.

What’s in scope?

The fund focuses on contributions that are seen as public goods and will deliver value over an extended period of time with the broader ecosystem.

You can apply for funding for:

• Core R&D that advances the Canton protocol and network capabilities
• Developer tooling that make it easier to build, test, and operate on Canton
• Security work and audits, including remediation and ongoing hardening
• Reference implementations other builders can reuse
• DeFi app liquidity seeding to support early utility, where liquidity is a prerequisite
• Critical infrastructure the ecosystem relies on.

In short: if your proposal delivers a common good for the Canton ecosystem, it will be considered.

Making a proposal

Proposals are open to the community. Foundation members and contributors can submit proposals immediately by opening a pull request and using the proposal template in the github repo here. Other interested development houses or individuals can also submit proposals with support from Canton Foundation member organizations.

Submissions are evaluated based on the scope and quality of the work, alignment with protocol needs, and clearly defined milestones – not on who submits them.

Canton Foundation RFPs

The Canton Foundation Tech & Ops Committee may identify strategic objectives for the network and invite the community to submit proposals. Requests for proposals (RFPs) will be made publicly with clear guidelines, and you will be able to track calls for proposals via the usual Foundation channels.

Existing Contributors

Canton Foundation Tech & Ops committee members and contributors can submit fully formed proposals.

External proposals

Outside of the Canton Foundation, anyone can propose enhancements and projects. You just need to be championed by an existing member of the Tech & Ops Committee (see member firms who can guide you here) who can help you with your proposal.

Evaluation and decision-making

Proposals are all assessed with input and feedback from the contributor group and then reviewed by the Tech & Ops Committee, considering:

• Overall perceived impact and value to the ecosystem and the network’s utility
• Alignment with protocol needs
• Scope and feasibility
• Quality and cost effectiveness
• Security and scalability implications
• Provisions for long-term maintenance
• Inclusion of go-to-market and distribution plans

Apply Now!

The Tech & Ops Committee maintains a moderated, public mailing list for receiving proposal ideas and submissions. This is the primary entry point for contributor-initiated and external proposals.

Initial proposals can be submitted through the github repo by opening a new PR, and using the PR template to complete your proposal.

For further information on the Canton Protocol Development Fund, including governance, eligibility criteria and application requirements, visit:

 

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More Info

• Review the governance proposals that define the program (CIP-82 and CIP-100)
• Prepare a proposal aligned with the fund’s scope and principles
• Submit through the defined process and engage with the Tech & Ops Committee
• For additional questions please contact: dev-fund@canton.foundation

 

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Frequently Asked Questions (FAQ)

Why create a fund instead of a single Super Validator allocation?

The purpose of the fund is to enable the grant structures and sources that best align with what’s being funded. The development fund carves out a percentage from all network rewards at large, as all stakeholders of Canton are expected to benefit equally from the work done. And it enables much more flexible funding and grant structures than a Super Validator allocation.

Why is the Canton Foundation involved in defining such funding?

The work funded by the grant program is broadly work that is for the good of Canton Network stakeholders at large – work that advances the utility and value of the network for all involved. The Canton Foundation has a mandate to run open, neutral processes and governance for the network, including grants, RFPs, and audits – and to do so with representation from all network stakeholders. As such, the Canton Foundation is the natural place to govern the grants program.

How do I become a member of the Tech and Ops committee or core contributor group?

Becoming a member of the Canton Foundation enables you to participate directly in member committees and working groups, including the Tech & Ops committee, through the Canton Foundation’s governance structure.

Find out how to become a member at https://canton.foundation/join-the-foundation/

If you are already a member of the foundation, simply contact foundation staff via email or Slack to let them know your delegate to the tech and ops committee and they’ll help you onboard.

I thought Canton didn’t do grants – what changed?

The Global Syncrhonizer’s Super Validators approved this fund specifically to support shared contributions that benefit the entire network. This is about maintaining and improving the foundation everyone builds on, not picking winners.

The Canton Foundation does not subsidize applications today or fund growth initiatives from a central treasury or premine in the same way other networks structure their grants programs.

Where do the funds come from? How is it funded?

5% of the future emission of Canton Coin is being allocated to the fund, pro-rata across all reward streams (SV rewards, App Rewards and Validator Rewards), as established in CIP-0082. The funds are not pre-mined, taken from a treasury or retroactively allocated. This programmatic 5% allocation aims to create a durable, predictable funding source without the uncertainty of ad-hoc grants, market cycles, or changing Super Validators.

Funding is administered by the Canton Foundation Tech & Ops Committee, with quarterly budgeting, milestone-based payouts, public reporting, and annual independent audit.

What kinds of contributions are eligible?

CIP-0082 states that the purpose of the fund is to support “core R&D, dev tools, security, audits, reference implementations, DeFi app(s) liquidity seeding, critical infra.” This can be interpreted broadly as anything considered a “common good” for the ecosystem.

Who can apply?

• The Tech & Ops Committee may issue RFP-style calls for specific work
• Members of the committee may submit proposals directly
• Anyone from the broader community may propose topics or projects, but have to find a champion within the Tech & Ops committee to guide them through the process.

Anyone. If you are not currently a member of the Foundation, a member of the Tech & Ops Committee may act as a champion to guide your proposal through the process. All proposals are evaluated on merit and alignment with the fund’s scope.

Can my startup apply?

Yes — provided the proposed work is designed to benefit the network as a whole and you have a champion from the Tech and Ops committee to guide you through the process.

Is funding retroactive?

Grants and funding are milestone-based, meaning funding is released when corresponding milestones in the grant proposal have been reached demonstrably.

How much funding is typical? Is there a cap?

Funding amounts vary by scope and impact. There is no fixed cap, but funding is allocated within a quarterly budget approved by the Foundation board, informed by the Finance Committee.

What currency are grants paid in?

Funding is denominated and paid in Canton Coin. For projects expected to run six months or less, milestones are typically fixed in Canton Coin terms. Full details can be found in CIP-100.

How are milestones evaluated?

When a milestone is claimed:

• The Tech & Ops Committee evaluates it against the agreed acceptance criteria
• Technical milestones may be reviewed with input from the contributor group
• Continuation funding is voted on milestone by milestone

If milestones are not met or are disputed, funding may be paused, renegotiated, or halted.

What happens if a project fails?

The Tech & Ops committee can stop funding if milestones are not being met.

Is this a token incentive or liquidity program?

The fund supports projects that are for the common good of the network. In some cases, this may include some initial liquidity seeding. It is not a token incentive program.

How does this help decentralization?

By funding shared infrastructure and protocol work in the open, the fund reduces reliance on any single organization and broadens who contributes to Canton’s evolution over time, while maintaining high standards.

Where can I see the list of funded projects?

All projects will be publicly listed at: https://github.com/canton-foundation/canton-dev-fund