Development Fund Proposal
Canton RWA Fund Finance Toolkit: Comprehensive TypeScript SDK and Reference Implementations
Author: Auther Liu
Status: Draft
Created: 2026-04-18
Label: developer-tools sdk rwa fund
Abstract
The Canton RWA Fund Finance Toolkit is a comprehensive, production-grade open-source TypeScript SDK built on top of the official Daml Finance library. It is designed to help developers and institutions rapidly build professional RWA and tokenized fund products on Canton Network.
This proposal requests support from the Development Fund to create a high-quality, easy-to-use toolkit that includes full fund share tokenization, subscription & redemption workflows, real-time NAV calculation, dividend distribution, compliance modules, React Hooks, and multiple high-quality Reference Implementations.
The toolkit will significantly lower the barrier for developers and small fund teams to build institutional-grade applications on Canton, serving as valuable shared public infrastructure for the ecosystem.
Specification
1. Objective
The objective is to provide the Canton ecosystem with a standardized, institution-friendly RWA and Fund Finance toolkit. This allows developers and fund managers to quickly build subscription/redemption flows, NAV management, dividend distribution, and compliance features without reinventing complex financial logic from scratch.
The toolkit aims to become the go-to shared infrastructure for tokenized funds and RWA applications on Canton, reducing duplicated effort, accelerating institutional adoption, and increasing real transaction volume on the network.
2. Implementation Mechanics
The toolkit is built strictly on Daml Finance Interfaces and Reference Implementations, fully respecting Canton’s privacy partitioning and multi-party workflow model.
Core features include:
- Fund share tokenization (fungible FundShare Instrument)
- Atomic subscription & redemption workflows
- Real-time and periodic NAV calculation engine
- Dividend distribution and lifecycling module
- Institutional compliance and permissioning system
- Production-ready TypeScript SDK with complete type definitions
- Rich React Hooks library (
useFundSubscription, useRealTimeNAV, useHoldings, useDividends, useComplianceCheck, etc.)
- Reusable UI component library built with Shadcn/UI + Tailwind
- At least 3 high-quality Reference Implementations (Open-end Fund, RWA Hybrid Fund, Index Fund)
- Full Next.js demo application (Investor portal + Management dashboard)
All components will be thoroughly tested on Canton Sandbox, DevNet, and TestNet.
3. Architectural Alignment
This project is built entirely on official Daml Finance libraries and native Canton patterns. It fully leverages Canton’s privacy features, multi-party authorization, and atomic settlement capabilities. The toolkit strictly follows CIP-56 Token Standard and CIP-0103 interaction standards. No protocol-level changes are required.
It aligns strongly with Canton’s institutional finance focus by providing production-ready tools tailored for RWA and regulated fund products.
4. Backward Compatibility
No backward compatibility impact.
This is a new open-source toolkit and will not introduce any breaking changes to the Canton protocol or existing applications. All code will be released under the MIT License.
Milestones and Deliverables
Milestone 1: Daml Core Contracts and TypeScript Foundation
- Estimated Delivery: Weeks 1-2 after project kickoff
- Focus: Build solid core contracts and type system
- Deliverables: Complete FundShare Instrument, Subscription/Redemption, NAV Manager, and Dividend contract templates + full TypeScript type definitions
Milestone 2: SDK and React Hooks Library
- Estimated Delivery: Weeks 3-5 after project kickoff
- Focus: Develop production-grade SDK and Hooks
- Deliverables: Full TypeScript SDK + comprehensive React Hooks library
Milestone 3: UI Components, Reference Implementations and Demo
- Estimated Delivery: Weeks 6-8 after project kickoff
- Focus: Deliver ready-to-use components and examples
- Deliverables: Reusable UI component library + 3 high-quality Reference Implementations + complete Next.js fund demo application
Milestone 4: Documentation, Packaging and Initial Release
- Estimated Delivery: Weeks 9-10 after project kickoff
- Focus: Complete documentation and packaging
- Deliverables: Professional documentation website, Quickstart Guide, video tutorials, and npm publishing
Milestone 5: 9-Month Maintenance and Adoption Program
- Estimated Delivery: Weeks 11-48 after project kickoff
- Focus: Long-term maintenance and ecosystem adoption
- Deliverables: Ongoing repository maintenance, Discord support, community feedback iteration, and at least 10 external team adoption cases
Acceptance Criteria
The Tech & Ops Committee will evaluate completion based on:
- All deliverables completed as specified in each milestone
- Code fully open-sourced under MIT License and published to npm
- Successful end-to-end testing on Canton TestNet (privacy, multi-party workflows, atomic settlement)
- At least 3 high-quality, reusable Reference Implementations
- Professional documentation website live with Quickstart and video tutorials
- New developers can complete a full fund subscription flow within 30 minutes using the toolkit
- Active maintenance for 9 months with responsive GitHub issue handling
- Measurable adoption signals (GitHub stars, npm downloads, developer feedback)
Funding
Total Funding Request: 80,000 CC
Payment Breakdown by Milestone
- Milestone 1: 12,000 CC
- Milestone 2: 15,000 CC
- Milestone 3: 18,000 CC
- Milestone 4: 15,000 CC
- Milestone 5: 20,000 CC
Use of Funds
All funds will be used for full-time development effort, testing infrastructure, documentation creation, video tutorials, and 9 months of ongoing maintenance.
Co-Marketing
Upon release, the applicant will collaborate with the Foundation on:
- Joint announcements for major milestone completions
- Technical blog posts and tutorials showcasing the toolkit
- Participation in Canton developer workshops and ecosystem events
- Case studies demonstrating real RWA and fund implementations using the SDK
Motivation
The Canton ecosystem currently lacks a mature, institution-friendly RWA and Fund Finance toolkit. Many developers still need to repeatedly implement complex logic for fund share management, NAV calculation, subscription/redemption flows, etc. This toolkit will fill that gap, serve as shared infrastructure, and help more teams launch products faster — ultimately driving higher real transaction volume and institutional adoption on Canton.
Rationale
This is a high-impact public good project. Building on top of the official Daml Finance library significantly reduces technical risk while delivering Reference Implementations and long-term maintenance ensures fast ecosystem adoption. As an independent builder focused on RWA and tokenized funds, the applicant has strong motivation to maintain this toolkit as long-term infrastructure for the Canton ecosystem.
