Cancore raises $7.2M to develop an AI trading engine dedicated to tokenized assets

Cancore, a Singaporean company specializing in cross-chain settlement infrastructure, raised $7.2 million on October 28, 2026, to develop an AI-powered algorithmic trading engine dedicated to tokenized assets. This announcement comes at a time when decentralized finance (DeFi) protocols are showing record yields, attracting the attention of institutional investors seeking automation and liquidity. Context Cancore positions itself as a key player in the tokenized assets ecosystem, particularly on the Canton Network , a blockchain designed for financial institutions. Founded in 2025, the company has already recorded over $53 million in cumulative volume since its mainnet launch in April 2026, according to its own data. Its infrastructure enables atomic swaps between Canton assets and those of other blockchains (Ethereum, BNB Chain, Arbitrum), without relying on wrapped tokens or centralized platforms. The tokenized assets market, although still emerging, is experiencing sustained growth. The DeFi protocols targeted by Cancore, such as Morpho-Blue or Aerodrome-Slipstream, show annual percentage yields (APY) exceeding 250%, with total value locked (TVL) reaching several million dollars. These performances, combined with the growing interest of institutional investors in automation, create a fertile ground for innovation in algorithmic trading. The Facts According to CryptoBriefing , Cancore raised $7.2 million from private investors, including Paper Ventures , dao5 , ArkStream Capital , X Ventures , MH Ventures , and Proof of Talk . The funds will be dedicated to the development of an AI engine capable of analyzing on-chain and off-chain data in real-time to execute trading strategies on tokenized assets. Priority targets include protocols with high TVL and high yields, such as: Morpho-Blue/1337USDC (APY of 297,995% on $11.4 million TVL, Ethereum); Aerodrome-Slipstream/USDC-CBBTC (APY of 256% on $5.5 million TVL, Base). Cancore plans to launch a beta version of its AI engine in the first quarter of 2027, following tests on selected liquidity pools. No precise date has been communicated for the full deployment. According to CryptoScore Pro data as of October 28, 2026, the assets concerned show the following performances: MORPHO : price at $2.18, market capitalization of $1.53 billion, TVL of $27,310; CBBTC : price at $80,648, market capitalization of $7.75 billion; AERO : price at $0.7019, TVL of $103.86 million. No official partnerships with exchanges or custodians have been announced at this stage. Furthermore, Cancore has not communicated regarding any potential security audits or regulatory certifications. The Cancore press release specifies that the platform has already recorded over 84,000 transactions and generated $538,000 in revenue since its launch. Ye Su, general partner at ArkStream Capital , highlighted that these figures demonstrate a concrete demand for the company's services. Understanding Key Concepts Tokenized Assets A tokenized asset is a digital representation of a traditional asset (stocks, bonds, commodities, real estate) on a blockchain. For example, a token like CBBTC (Coinbase Wrapped BTC) represents a bitcoin held in reserve by Coinbase, but tradable on blockchains such as Ethereum or Base. Tokenization allows for increased liquidity, improved traceability, and 24/7 accessibility, while reducing transaction costs. Total Value Locked (TVL) Total Value Locked (TVL) measures the total value of assets deposited in a DeFi protocol, such as a liquidity pool or a lending protocol. For example, a TVL of $11.4 million for Morpho-Blue/1337USDC indicates that users have locked this amount in the protocol to generate yields. TVL is a key indicator of a protocol's popularity and health, but it does not necessarily reflect its profitability or security. Annual Percentage Yield (APY) The Annual Percentage Yield (APY) represents the theoretical annual return on an investment, taking into account the compounding of interest. An APY of 297,995% for Morpho-Blue/1337USDC means that, if market conditions remain stable, a deposit of 1,000 dollars could theoretically earn nearly 3 million dollars in one year. However, these extreme returns are often linked to high risks, such as the volatility of underlying assets or temporary reward mechanisms. Cross-chain and atomic swaps The term cross-chain refers to a platform's ability to operate on multiple blockchains simultaneously. For example, Cancore allows assets to be exchanged between the Canton Network and Ethereum without going through a centralized intermediary. Atomic swaps are transactions that execute indivisibly: either both parties receive their assets, or the transaction is cancelled. This mechanism eliminates counterparty risk, where one of the parties would not honor their commitments. Slippage and order fragmentation Slippage refers to the difference between the expected price of a transaction and its actual execution price, often caused by a lack of liquidity. For example, if a 100,000 dollar buy order for an illiquid token pushes its price up by 5%, the slippage will be 5%. To limit this risk, trading algorithms like the one used by Cancore employ order fragmentation strategies, which divide a large transaction into several smaller ones to minimize the impact on the market. Analysis: what is at stake Cancore's fundraising takes place in a market where demand for automated tools capable of exploiting the extreme yields of DeFi protocols continues to grow. From an economic perspective, the project relies on an arbitrage mechanism between liquidity and yield: by targeting pools such as Morpho-Blue/1337USDC (APY of 297,995% for $11.4M TVL) or Aerodrome-Slipstream/USDC-CBBTC (256% for $5.5M), Cancore's AI could amplify capital flows toward these assets, potentially reducing their volatility while optimizing transaction fees. According to CryptoScore Pro data as of October 28, 2026, these protocols show modest daily volumes…