# Canton Network Enables Institutional DeFi Risk Controls
Digital Asset's CEO Yuval Rooz announced that Canton Network allows institutions to implement guardrails against DeFi security threats and malicious actors. The blockchain infrastructure gives participants granular control over transaction validation and counterparty exposure.
Canton operates as a privacy-preserving ledger designed for enterprise use. Unlike public blockchains, it lets organizations configure custom rules before settling transactions. Institutions can restrict which wallets interact with their smart contracts, set exposure limits per counterparty, and pause trading during anomalous activity.
The platform addresses a core institutional pain point: DeFi protocols like Uniswap and Aave expose users to front-running, flash loan attacks, and MEV extraction. Canton's architecture moves governance and risk controls to individual participants rather than relying on protocol-level safeguards alone.
This approach differs from traditional DeFi. Rather than trusting protocol developers or token holders to secure the system, each institution maintains its own security perimeter. Digital Asset positions Canton as infrastructure for banks and asset managers seeking exposure to decentralized finance without sacrificing operational control.
Canton remains in development. The network targets institutional adoption in 2024, competing against other enterprise blockchain solutions including Hyperledger Fabric and JPMorgan's JPMCoin infrastructure.