Chainlink kicked off an exciting July at Point Zero Forum by announcing its collaboration with Fidelity International and Sygnum to bring net asset value (NAV) data for Fidelity International’s $6.9 billion Institutional Liquidity Fund onchain. Chainlink co-founder Sergey Nazarov described the news as a significant leap in advancing fund tokenization’s mainstream adoption.
“Fund tokenization is likely the largest digital asset trend happening today, and it is a large confirmation that global asset management firms are entering this growing market,” he said. “The global reach and efficiency benefits of tokenized funds are far greater than traditional methods and will over time become the way the entire asset management industry operates.”
Cross-Chain Interoperability Protocol (CCIP) belongs to a comprehensive set of Chainlink services that are vital for powering tokenized real-world assets and stablecoins such as Aave’s algorithmic U.S. dollar-pegged stablecoin, GHO. In July, GHO launched on Arbitrum in the first phase of its CCIP-powered cross-chain expansion strategy.
“Integrating with other networks will lower fees, offer faster transactions, and enhance liquidity, making GHO more attractive to users and ushering in a variety of new use cases, including GHO digital payments,” said Aave Founder Stani Kulechov.
Chainlink Proof of Reserve (PoR), which provides real-time updates for reserves backing digital assets, also made waves in July. Wenia, a new digital asset company from Bancolombia Group, one of the largest financial conglomerates in Latin America, integrated PoR to boost the transparency of Colombian peso reserves backing the COPW stablecoin in what Wenia CEO Pablo Arboleda called “a significant milestone in Colombia’s digital asset landscape.”
Soon after U.S. regulators gave spot Ethereum ETFs the green light last month, 21Shares launched the Core Ethereum ETF (CETH) and integrated PoR to increase investor confidence in CETH by making its underlying ETH reserves and reserve history publicly available via the CETH Reserves feed.
21Shares President and co-founder Ophelia Snyder called the decision to verify CETH reserves with Chainlink PoR, which also verifies 21Shares’ spot bitcoin ETF, a “no-brainer.”
During his keynote speech at EthCC in Brussels, Sergey Nazarov underscored Chainlink’s primary goal to create a single standard that unites DeFi and TradFi and reformats the world’s value onchain in a global internet of contracts. He advised developers to build innovative DeFi applications that reserve space to interact with traditional markets.
“That should be a consideration, because the amount of retail demand eventually will be dwarfed by the amount of capital markets/TradFi demand – and that demand will want to use your applications and will want to interact with your user base,” he said.
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