Grayscale is positioning Chainlink as important infrastructure for the rising market of tokenized belongings, in response to a brand new analysis report.
The asset supervisor’s analysis arm argues that Chainlink’s suite of companies, spanning real-world information feeds, compliance tooling, and blockchain interoperability, solves lots of the real-world frictions that block wider adoption of blockchain-based finance.
Chainlink is finest identified for powering “oracles,” which feed off-chain information like asset costs to good contracts. However its newer choices go a lot additional. The Cross-Chain Interoperability Protocol (CCIP), for example, permits tokens and messages to maneuver between chains, one thing that got here into focus throughout a check with J.P. Morgan’s Kinexys and Ondo Finance.
Grayscale sees Chainlink’s LINK token as providing diversified publicity to crypto’s infrastructure layer, per the report. “Chainlink is the critical connective tissue between crypto and traditional finance,” the report rsaid. “It can already be considered essential infrastructure in blockchain-based finance.”
The report pegs the tokenization market at $35 billion right this moment, nonetheless a fraction of the worldwide asset base, however notes that Chainlink’s integration with companies like S&P International and FTSE Russell places it in a powerful place as conventional markets discover on-chain options.
At the moment, Grayscale added, the entire marketplace for tokenized belongings represents simply 0.01% of the entire worth of worldwide fastened earnings and fairness securities. The expansion of the tokenized belongings market, the agency added, might “imply growth” in demand for Chainlink’s choices.
Whereas nonetheless small relative to international capital markets, the agency expects the determine to develop as banks, asset managers, and information suppliers discover blockchain rails. It’s already grown from round $5 billion in early 2023 to its present determine.
The report comes at a time when Grayscale has filed to transform its $29 million Chainlink Belief into an exchange-traded fund that will commerce beneath the ticker GLNK on NYSE Arca. If authorised, it will be the primary U.S.-listed Chainlink ETF and one of many first with a staking element.
