News
Chainlink (LINK) Price Rises 7% as DTCC Completes Pilot Project to Accelerate RWA Tokenization with Participation from JPMorgan, Franklin Templeton, and BNY Mellon
The Depository Trust and Clearing Corporation (DTCC), the world’s largest securities settlement system, has completed a pilot project blockchain oracle Chain shirt (CONNECTION) and several major U.S. financial institutions, with the goal of helping accelerate the tokenization of funds, according to a Thursday report published by the DTCC.
The aim of the project called Smart NAV was to establish a standardized process for bringing and disseminating funds’ net asset value (NAV) data to virtually any private or public blockchain using Chainlink. CCIP interoperability protocol. Market participants included American Century Investments, BNY Mellon, Edward Jones, Franklin Templeton, Invesco, JPMorgan, MFS Investment Management, Mid Atlantic Trust, State Street and US Bank.
By completing the pilot, DTCC “discovered that by providing structured data on-chain and creating standard roles and processes, foundational data could be incorporated into a multitude of on-chain use cases, such as tokenized funds and smart contracts” for consumers mass,” which are contracts that contain data for multiple funds,” the report reads.
Chainlink’s native token LINK gained more than 7% following news of the DTCC pilot, reaching $15 for the first time since May 6, outperforming the broader cryptocurrency market benchmark CoinDesk 20 Index(CD20) slight decline in the same period.
The pilot project took place as a tokenization of real world resources (RWA) such as bonds, funds and other traditional investments have become one of the most interesting use cases for blockchain technology. Several financial heavyweights such as BlackRock, Citi and HSBC have thrown their hats into the ring to chase them benefits such as operational efficiency, faster settlements and greater transparency compared to using the traditional financial plumbing system.
UPDATE (May 16, 8:25pm UTC): Adds the advance of the price of the LINK token.