News Scrap

  • Chainlink is standardizing corporate action data by collaborating with Euroclear, Swift, and Franklin Templeton
  • The partnerships will be to improve market efficiency and reduce fragmentation.

Chainlink has launched a new initiative to standardize corporate action data across equity and fixed-income securities. In partnership with other major financial entities, including Euroclear, Swift, and Franklin Templeton, the project seeks to solve the issue of data dispersion in corporate action events, including mergers, dividends, and stock splits. Such events are crucial for the markets, but they are not always coordinated between markets of different jurisdictions.

The initial part of this campaign was conducted in six European countries. Chainlink employed its decentralized oracles associated with Large Language Models such as OpenAI’s ChatGPT and Google’s Gemini. 

This integration allowed the conversion of corporate action data into the “Golden Records”, structured in compliance with ISO 20022 and SMPG best practices.  The data was then distributed using Chainlink CCIP to enable the smooth transfer of the data across different blockchain networks. 

Another key player, Chainlink, has also grown by partnering with Coinbase’s Project Diamond, an institutional-grade platform for managing tokenized assets. This partnership will ensure that Chainlink supplies key information and connections necessary for the interoperation of public and private blockchains with conventional finance.

Project Diamond of the Financial Services Regulatory Authority of the Abu Dhabi Global Market (ADGM) enables institutions to deal with the entire life cycle of digital assets. The integration with Chainlink’s CCIP also strengthens the platform, by enabling compliance checks and cross-chain token transfer and smart contract messaging across multiple blockchains. Marcel Kasumovich, Deputy CIO of Coinbase Asset Management, noted that adopting Chainlink standards will help the industry prepare for the institutional use of digital assets.

According to the popular crypto analyst Michaël van de Poppe, Chainlink remains one of the promising projects that would see a rise in its price as a ‘blue-chip’ asset. Poppe stated that as Web 2.0 companies shift to Web 3.0 via tokenized products, Chainlink is well-placed to help these firms link up with blockchain technology. 

At the time of writing, Chainlink (LINK) is trading at around $29 with a weekly appreciation of 8.35% and a monumental 104% in the last 30 days. However, the whale movements from Binance in particular have triggered some concern over the volatility of the market.

Whales’ movements have been considered by analysts on a large scale. Recently, a whale has transferred 100,000 LINK out of Binance, which is equal to about $2.95 million. This is in addition to the 529,999 LINK tokens worth $15.5 million removed from the exchange in three days. Although such withdrawals indicate a decrease in selling pressure, they also serve to increase concerns over strategic liquidations. 

The future of LINK still remains a subject of debate among market analysts. Analyst Alan Santana has projected that if LINK breaks through the two levels of $32 and $35, it will then have the potential to rise to $47 and $53. If the price of LINK goes above $53, it can reach $61, which will be a 200% rise.

On the other hand, Ali Martinez offers a fairly more optimistic view. According to Martinez, LINK may appreciate $34 if it manages to break the $30.4 mark due to the rise in the broader altcoin market and the rise in the value of Bitcoin.