Coinbase Integrates Chainlink to Unlock New Liquidity for Institutional Digital Assets
- Coinbases Project Diamond integrates Chainlink for cross-chain interoperability and secure asset management.
- Chainlinks technology enhances the platforms ability to manage tokenized assets while ensuring compliance.
- Peregrine, PSG Digitals business, will be the first major user of the platform in the ADGM.
Coinbases Project Diamond, a platform for institutional asset issuers and fund managers, has implemented Chainlinks robust infrastructure to smoothen the lifecycle management of tokenized assets.
This integration is a significant stride toward better interoperability and compliance of the digital asset industry. The networks technology will introduce secure data access and cross-chain compatibility, which enables the institutional adoption of tokenized assets.
Chainlinks Ensures a Secure, Compliant Digital Asset Lifecycle
Project Diamond, under the regulatory regime of the Financial Services Regulatory Authority of ADGM, focuses on creating a compliant digital asset platform for global institutions. By incorporating the networks Cross-Chain Interoperability Protocol (CCIP), Coinbase looks to offer frictionless interoperability between public and private blockchains, ensuring that tokenized assets could be moved around with the same verifiable, high-quality data between blockchains.
Chainlinks suite of services, including CCIP and Chainlink Functions, will enhance the assets on Coinbases platform, making sure that no matter what blockchain, they can receive key real-world data. Asset issuers and fund managers now have a compliant, secure, and highly scalable solution to manage their tokenized assets with this addition.
Peregrine Joins as Flagship User
Peregrine, the regulated arm of PSG Digital, will be the first significant user of Project Diamond in the Abu Dhabi Global Market (ADGM). The company aims to bring institutional-grade, real-world assets to the platform.
As the financial world increasingly gravitates toward digital asset solutions, Chainlinks infrastructure promises to reduce costs, enhance transparency, and unlock new liquidity for institutional investors.
Facilitating the Next Generation of Digital Assets
According to Coinbases Marcel Kasumovich, with the integration of the Chainlink standard, asset issuers and banks will have a secured as well as scalable path ahead for creating complaint or tokenized assets. Given the network, Project Diamond will support institutional on-boarding globally.
Head of Chainlink Labs, Johann Eid further added that this tie-up is helpful in the lifecycle management of tokenized assets against demand for secure and verifiable data across financial systems.
Clearly, the adoption of the network shows that Coinbase is positioning Project Diamond as a key player in the future of institutional-grade digital asset management. This makes the utility of the platform greater, paving the way toward a more interoperable and compliant digital asset ecosystem.
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Text source: TronWeekly
