Chainlink Surges 14%, Decouples From Altcoins After Tokenization Pilot With DTCC

Chainlink’s Smart NAV pilot program with the DTCC saw participation from banking giants like BNY Mellon, State Street and JPMorgan.

Blockchain oracle Chainlink’s native token LINK has surged 14% in the last 24 hours, decoupling from the wider altcoin market which saw mostly negative price action across the board.

According to data from crypto market intelligence platform Santiment, Chainlink whale wallets saw a 4.6% rise over the last five weeks, while LINK saw rising social dominance.

The momentum in price comes after Chainlink shared the results of its Smart NAV industry pilot with the Depository Trust and Clearing Corporation (DTCC) – the world’s largest settlement and infrastructure company that processes $2 trillion annually.

The Smart NAV pilot explored an industry standard for transmitting price and rate data as a solution that could support experimentation in the asset management space. The major use case was in the area of fund tokenization, which a number of large institutional investors, including BlackRock have been delving into of late.

The pilot saw participation from the likes of American Century Investments, BNY Mellon, Edward Jones, Franklin Templeton, Invesco, JPMorgan, and U.S. Bank. Chainlink’s Cross Chain Interoperability Protocol (CCIP) served as a blockchain interoperability standard to address the issue of market fragmentation by providing a secure abstraction layer between the DTCC and blockchains. 

“Based on these findings, we see an opportunity to potentially expand the scope of the pilot to explore how the technical capability leveraged in the pilot could power a broader range of use cases beyond the dissemination of price and rate data and across a greater number of blockchains,” said the DTCC in a press release.