Canton Network in 5 Minutes
Documentation Index
Fetch the complete documentation index at: https://docs.canton.network/llms.txt Use this file to discover all available pages before exploring further.
Canton Network in 5 Minutes
A rapid introduction to Canton Network’s approach to privacy-preserving blockchain
Canton Network is a public blockchain that solves a fundamental problem: how do you get the benefits of blockchain (shared truth, automation, auditability) without exposing sensitive data to everyone?
The Core Insight
Traditional blockchains replicate all data to all nodes. This provides strong integrity guarantees but prevents privacy without additional layers.
Canton inverts this model: data goes only where it needs to go. Parties see only what they’re entitled to see, yet the system maintains the same integrity guarantees as a fully replicated blockchain.
flowchart LR
subgraph Traditional[Traditional Blockchain]
TX1[Transaction] --> ALL[All Nodes]
ALL --> N1[Node 1: sees everything]
ALL --> N2[Node 2: sees everything]
ALL --> N3[Node N: sees everything]
end
flowchart LR
subgraph Canton[Canton Network]
TX2[Transaction] --> VIEWS[Split into Views]
VIEWS --> VA[Alice's validator: sees Alice's view]
VIEWS --> VB[Bob's validator: sees Bob's view]
VIEWS --> VC[Charlie's validator: sees Charlie's view]
end
How It Achieves This
Canton achieves this through three key innovations:
1. Sub-Transaction Privacy
Transactions are decomposed into views. Each party receives only the views they’re entitled to see based on their role (signatory, observer, controller).
If Alice pays Bob, and Bob pays Charlie in a single atomic transaction:
- Alice sees her payment to Bob
- Bob sees both payments (he’s involved in both)
- Charlie sees only his receipt from Bob
- Nobody else sees anything
2. Synchronizers Only Synchronize, Don’t Store Transaction State
The Global Synchronizer orders transactions and facilitates consensus but never sees transaction content. It handles encrypted messages and confirmation results only.
This separation means:
- No central point that can read all data
- Synchronization without visibility
- Validators store data for their hosted parties
3. Smart Contracts Define Privacy
Privacy isn’t a bolt-on feature. Daml smart contracts explicitly declare:
- Signatories: Who must authorize and always see the contract
- Observers: Who can see but not act
- Controllers: Who can execute specific actions
template Asset
with
owner : Party
issuer : Party
regulator : Party
where
signatory issuer -- Must authorize; always sees
observer owner, regulator -- Can see
choice Transfer : ContractId Asset
with newOwner : Party
controller owner -- Only owner can execute the Transfer choice
do create this with owner = newOwner
The Network
Canton Network consists of:
| Component | Role |
|---|---|
| Global Synchronizer | Public synchronization layer operated by Super Validators |
| Validators | Nodes that host parties and store their contract data |
| Canton Coin (CC) | Native token for transaction fees |
| Applications | What you build on top |
flowchart TB
subgraph GS[Global Synchronizer]
SV1[Super Validator 1]
SV2[Super Validator 2]
SV3[Super Validator N]
end
V1[Validator A<br>+ App A] <--> GS
V2[Validator B<br>+ App B] <--> GS
V3[Validator C<br>+ App C] <--> GS
Each validator typically runs one or more applications. Applications can also compose with other applications—using their published Daml packages to build on top of existing functionality while preserving privacy.
Why This Matters
Canton enables use cases that are not feasible on traditional blockchains:
| Use Case | Why Canton Works |
|---|---|
| Regulated finance | Data stays with entitled parties; compliance becomes possible |
| Multi-party workflows | Shared truth without shared visibility |
| Confidential agreements | Terms visible only to signatories |
| Position privacy | Trading strategies protected |
What’s Different
If you’re coming from other blockchains:
| Traditional Blockchain | Canton |
|---|---|
| Everyone sees everything | Parties see only their views |
| Global state replication | Distributed state per party |
| Privacy = additional layer | Privacy = core protocol |
| Gas fees | Traffic fees |
| EOA/Address | Party |
| Mutable contracts | Immutable; changes create new contracts |
Next Steps
Mirrored from Canton Network official documentation (CC-BY-4.0) by CC Privacy Club for learning purposes.