Chainlink has partnered with financial markets connectivity solutions provider Rapid Addition to develop a new blockchain solution, enabling institutions to interact and trade real-world assets on the blockchain.
In a recently published press release, Mike Powell, CEO of Rapid Addition, reported on their strategic partnership with Chainlink to develop a native blockchain adapter that allows institutions to securely explore the growing tokenized asset economy.
The CEO of the platform he highlighted that the new blockchain adapter is based on Chainlink's Cross-Chain Interoperability Protocol (CCIP), which will allow financial institutions, including banks, insurance funds, investment funds, brokerages, lending entities and more, to transmit messages and interact with a wide spectrum of tokenized assets on the blockchain.
Tokenization, the gateway to the new era of digital assets
Asset tokenization, one of the most explored use cases of blockchain technology today, represents a moment of transition towards new opportunities and challenges in the financial industry. This innovation is enabling inclusive access to finance, removing existing financial barriers and accelerating the development and growth of diverse markets. However, as Rapid Addition recently pointed out, this is a market opportunity that is still untapped, really.
The potential of tokenization ranges from the carbon credit market and renewable energy products, to real-world assets (RWA) such as real estate, infrastructure and collectibles, among other markets that institutions have been exploring with blockchain.
Now, through Chainlink, connectivity solutions provider FIX wants to provide businesses with seamless and secure integration on blockchain-based platforms, to accelerate “the convergence of the worlds of traditional and onchain finance, bringing new efficiencies and greater liquidity to established centralized markets.” To achieve these goals and unlock new business models, the platform highlighted the key role of blockchain technology.
According to Chainlink’s development director, interoperability between traditional and blockchain-based financial systems is critical for institutional adoption of tokenized assets, and the Chainlink-based native blockchain connector CCIP addresses this need by facilitating a seamless and secure connection of FIX’s widely used industry protocols to blockchain smart contracts, unlocking new possibilities for institutional trading of digital assets.
On the other hand, according to Sergey Nazarov, co-founder and CEO of Chainlink, their blockchain solution, which is currently the largest and most widely used decentralized oracle network in the crypto industry, is providing a key pathway for the transition of the global financial system to the blockchain and Web3 industry format. Nazarov assured that this transition is already underway and is inevitable.
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