Grayscale Names Chainlink Key to Blockchain Tokenization Boom

Chainlink: Bridging Traditional Finance and Crypto Through Tokenization and Cross-Chain Settlement Innovations

  • ChainLink is positioned as central middleware linking crypto with traditional finance through off-chain data and cross-chain interactions.
  • Its software tools support tokenization, cross-chain settlements, and compliance for real-world assets on blockchains.
  • The tokenized asset market grew from $5 billion to over $35.6 billion since early 2023, highlighting Chainlink’s role in the sector.
  • Chainlink, JPMorgan, and Ondo Finance completed a cross-chain delivery-versus-payment settlement connecting a bank payment system with a public blockchain.

Grayscale emphasizes that Chainlink will play a critical role in the next phase of blockchain adoption. Described as the “critical connective tissue” linking crypto to traditional finance, Chainlink provides modular middleware that allows on-chain applications to access off-chain data securely, communicate across blockchains, and fulfill enterprise compliance requirements. This growing infrastructure has elevated Chainlink (LINK) to become the largest non-layer 1 crypto asset by market capitalization, giving exposure to multiple blockchain ecosystems.

- Advertisement -

Tokenization stands out as a clear use case where Chainlink adds value. Most financial assets, including securities and real estate, remain recorded on off-chain ledgers. For these assets to benefit from blockchain’s efficiency and programmability, they need to be tokenized, verified, and linked to external data sources. According to a research report, Chainlink is poised to orchestrate this tokenization process and has formed partnerships with major data providers such as S&P Global and FTSE/Russel. The tokenized asset market has expanded from $5 billion to over $35.6 billion since early 2023 according to RWA.xyz.

In June, Chainlink, JPMorgan’s Kinexys network, and Ondo Finance finalized a cross-chain delivery-versus-payment (DvP) settlement. This pilot connected the permissioned bank payment network Kinexys Digital Payments with Ondo Chain’s testnet, which focuses on tokenized real-world assets. Using Chainlink’s Runtime Environment (CRE) as the coordination layer, the transaction exchanged Ondo’s tokenized U.S. Treasurys fund (OUSG) for fiat payment, with assets remaining on their native blockchains. This event demonstrates Chainlink’s capacity to enable seamless interactions between traditional financial systems and public blockchains.

✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.

Previous Articles:

- Advertisement -

Latest News

Bitfinex Hacker Ilya Lichtenstein Freed Early via First Step

Ilya Lichtenstein was released from prison after serving 14 months of a five-year sentence...

Waymo’s 2026 Expansion Could Drive Big Gains for GOOGL Surge

Alphabet rallied more than 60% in 2025 and enters 2026 with investor optimism tied...

Tesla shares slip as Q4 deliveries deemed largely neutral US

Tesla delivered 418,227 vehicles in Q4, slightly below the 422,850 company-polled consensus and last...

Institutions Pour In: 2026 Poised to Ignite ETH Value Rise!!

Ethereum insiders say 2026 could trigger significant ETH value growth as institutions increase on-chain...

EU Debates Digital Euro Privacy, Holding Limits: Compromises

The EU Council has endorsed the European Central Bank design for a digital euro...
- Advertisement -

Must Read

10 BEST Companies to Buy Hosting With Bitcoin And Crypto

If you are looking to buy hosting with bitcoin or cryptocurrency then you've come to the right place.I've done the research for you...
Bitcoin (BTC) $ 89,913.00 1.92%
Ethereum (ETH) $ 3,122.71 4.50%
XRP (XRP) $ 1.99 6.52%
Bittensor (TAO) $ 245.42 8.02%
Polkadot (DOT) $ 2.12 6.40%
Cardano (ADA) $ 0.388114 8.36%
Chainlink (LINK) $ 13.28 6.06%
Hyperliquid (HYPE) $ 24.58 0.76%
Monero (XMR) $ 419.74 0.04%
Hedera (HBAR) $ 0.120309 6.40%
Toncoin (TON) $ 1.81 6.80%