Project Pigeon Alliance establishes Asia-Pacific working group to promote permissionless blockchain

Project Pigeon Alliance launches an Asia-Pacific working group to promote permissionless blockchain governance standards

This initiative, jointly sponsored by Elliptic, the Digital Assets Institute (DAA), the Institute for Responsible Financial Technology (RFI) and Baker McKenzie Wong Leow, aims to establish an industry-standard risk management framework that supports security innovation and the processing of Class 1 crypto assets.

Singapore, August 12, 2026-The "Project Pigeon" alliance co-convened by Elliptic, the Digital Assets Institute (DAA), the Institute for Responsible Financial Technology (RFI) and Baker & McKenzie Law Firm today announced the establishment of the "Project Pigeon: Permissionless Blockchain Governance Working Group in the Asia-Pacific Region." The regional initiative is committed to promoting security compliance innovation on public blockchain networks, providing financial institutions with the framework they need to operate safely in a rapidly changing regulatory environment.

The initiative, named after carrier pigeon, reflects the alliance's goal of developing a trusted governance framework that enables open, decentralized blockchain networks to achieve secure communication and value transfer.

Working Group followed the consultation document issued by the Monetary Authority of Singapore (MAS) in April 2026 on the prudent handling of crypto assets on unlicensed blockchains. One of the main goals of the Pigeon Project is to help banks and financial institutions assess and respond to the regulatory considerations raised in the consultation document by building a framework around four major risk pillars, each led by a designated coalition co-convener:

Governance risk (led by RFI)

Address node centralization issues, maintain governance transparency, and ensure strict accountability within the decentralized ecosystem.

Technical risk (led by DAA)

Mitigates 51% of threats such as attacks, protocol vulnerabilities, smart contract vulnerabilities and broader infrastructure risks.

Settlement finality risk (led by Baker McKenzie)

Evaluate consensus mechanisms, coordinate probabilistic finality with deterministic finality, and establish legal certainty of settlements.

Anti-money laundering/anti-terrorist financing risks (led by Elliptic)

Address challenges related to anonymity, implement effective sanctions screening, utilize advanced on-chain analytics, ensure travel rule compliance, and manage links to prudential risks.

This working group brings together diverse banks, crypto-native companies, digital asset exchanges and traditional financial institutions in the Asia-Pacific region. To emphasize the systemic importance of this initiative, the Pigeon Project has established an observer and advisory role for key regulatory agencies.

Baker McKenzie serves as the Alliance's official secretariat, providing comprehensive editorial oversight, supporting communication with regulators, and managing the Alliance's governance processes. This structured approach includes biweekly plenary meetings, dedicated meetings of four working sub-groups, quarterly regulatory checkpoints, and monthly reviews by a Central Steering Committee (composed of DAA, RFI, Elliptic and Baker McKenzie).

The final outcome of the alliance's work will be the authoritative industry guide "Project Pigeon: Permissionless Blockchain", which will propose a practical end-to-end risk management lifecycle framework and executable guidance for risk and compliance managers. Reference and reference existing industry standards and regulatory guidance. This comprehensive publication will include detailed risk classifications, a catalog of risk events, preventive and detection control measures, governance mechanisms, control testing methods, and problem management and reporting processes. Accompanying the guidance, the alliance will also release a regulatory brief specifically targeted at regulators in the Asia-Pacific region. The target publication date for the industry guide is set for the first quarter of 2027.

Leaders of the Alliance's working groups emphasized the importance of a unified framework and commented:

"Robust governance is the missing link between the ideals of decentralization and institutional reality. Our focus is on creating transparent accountability mechanisms that meet regulatory expectations without stifling innovation."-- Chia Hock Lai, Chairman of the Institute for Responsible Financial Technology (RFI)

"The basic technology of the public chain is extremely powerful, but it is also beyond doubt complex. We are committed to developing actionable controls to protect financial institutions from protocol vulnerabilities and malicious cyber behavior."-- Jag Foo, Member of the Executive Committee of the Digital Assets Association (DAA) and Chairman of the Digital Asset Security Subcommittee

"Legal certainty is the foundation of the operation of financial markets. As the use of permissionless blockchain networks continues to evolve, financial institutions are increasingly demanding clarity on legal and governance considerations. The Pigeon Project provides a platform to review these issues and drive the development of practical methods in the industry."-- Stephanie Magnus, Head of Financial Services Regulation and Financial Technology at Baker McKenzie Wong Leow

"As the adoption of unlicensed chains accelerates, our approach to financial crime compliance must also be followed up. By embedding advanced on-chain analytics and travel rule compliance directly into the operational life cycle, we ensure transparency and security go hand in hand."-- June Lau, Head of Policy and Regulatory Affairs, Asia Pacific, Elliptic

Interested financial institutions, technology providers and regulators may be invited to participate in the working group or contribute to the public consultation phase. To express interest, contribute expertise or receive official updates, please contact the Pigeon Program Secretariat.

About the Pigeon Project

The Pigeon Project is a regional working group and industry alliance focused on developing governance and risk management standards for financial institutions using permissionless blockchains in the Asia-Pacific region. Co-convened by Elliptic, DAA, RFI and Baker McKenzie, the initiative bridges the gap between decentralized technology and institutional regulatory compliance.

About Elliptic

Elliptic is a global leader in cryptocurrency risk management, serving global cryptocurrency companies, governments and financial institutions. As a technology pioneer at the World Economic Forum, Elliptic protects the crypto-asset economy from financial crimes through advanced on-chain analytics and anti-money laundering/anti-terrorist financing compliance solutions.

About the Digital Assets Association (DAA)

The Digital Assets Association (DAA) is an industry organization committed to cultivating a responsible, safe and innovative digital asset ecosystem. DAA works with policymakers, technology developers, and financial institutions to promote best practices and reduce technological risks in blockchain infrastructure.

About the Institute for Responsible Financial Technology (RFI)

The Institute for Responsible Financial Technology (RFI) is a global nonprofit organization headquartered in Singapore. Our goal is to create a secure, trustworthy and reliable future for digital finance by building digital utilities that support responsible innovation. Our work brings together diverse public and private sector stakeholders to develop the necessary rules and technologies for new digital financial instruments to make the world of digital assets sustainable and inclusive for all.

About Baker McKenzie Wong Leow

Baker McKenzie helps customers compete in the global economy. The firm provides comprehensive and practical legal advice that penetrates complexity with clear, actionable guidance. Its employees represent diverse cultures and jurisdictions, combining local knowledge with international expertise to help companies grow across borders. Baker McKenzie's global fintech business provides advice to financial institutions, fintech innovators, digital asset companies and technology companies on complex legal, regulatory and governance issues raised by emerging technologies and digital financial services. Drawing on experience in mature and emerging markets, the team helps clients respond to changing regulatory frameworks, assess legal and governance considerations, and support responsible development and adoption of innovative financial services. Its work covers digital assets, digital payments, tokenization, market infrastructure and other technology-driven financial services. Baker McKenzie Wong Leow is Baker McKenzie's member firm in Singapore.