On July 3, 2024, in Zurich, Chainlink announced its partnership with Fidelity International and Sygnum at the Point Zero forum to transmit Net Asset Value (NAV) data to the blockchain. This collaboration is a significant milestone in the tokenization of assets, providing data transparency and accessibility for key asset data in the online version of Fidelity International’s Institutional Liquidity Fund, which is valued at $6.9 billion. Sygnum, a global digital asset banking group, previously tokenized $50 million worth of reserve assets for Matter Labs, which are currently held in Fidelity International’s money market fund and issued on the ZKsync blockchain. ZKsync is a member of the Chainlink SCALE program.
Net Asset Value data is a crucial pillar in the traditional fund industry. With the assistance of Chainlink, NAV data can be automatically, securely, and accurately transmitted and synchronized on the blockchain, providing real-time transparency and built-in access to historical data for Sygnum, its clients, and other market participants. In addition to this use case, Chainlink also distributes NAV data in a blockchain-agnostic manner, ensuring safe transmission between any blockchain or off-chain system. To meet the three conditions of tokenized assets, the Chainlink network not only transfers data to the blockchain but also provides cross-chain interoperability and dynamic synchronization, keeping programmable assets updated across any environment.
Fatmire Bekiri, Head of Tokenization at Sygnum, stated, “As we continue to bridge the gap between the traditional finance and blockchain industries, setting standards is crucial to promoting ecosystem participation and strengthening collaboration between blockchain companies, regulated financial institutions, and asset management firms. This is an important milestone, and I am delighted to see the efforts of Fidelity International, Chainlink, and Matter Labs come to fruition. We will continue to build an on-chain ecosystem in a regulated and compliant manner.”
Currently, more and more blockchain-native companies aim to obtain assets and NAV data provided by fund management companies like Fidelity International on the blockchain. Chainlink can accurately and securely upload and update NAV data on the chain, and these data can be transmitted between any public and private chains through Chainlink.
Sergey Nazarov, Co-founder of Chainlink, said, “Tokenized funds are probably the most significant trend in digital assets at the moment, and the willingness of numerous global asset management companies to join this emerging field demonstrates its value to a great extent. Tokenized funds break geographical restrictions and significantly improve efficiency, making them much more advantageous than traditional models. In due course, tokenized funds are bound to become the mainstream model of the entire asset management industry.”
About Sygnum:
Sygnum is a global digital asset banking group created by teams from Switzerland and Singapore. Sygnum invests in digital assets on behalf of professional and institutional investors, banks, corporations, and the Distributed Ledger Technology Foundation. Our team possesses institutional-level security and professional personalized services, including regulated digital asset banking, asset management, tokenization, and B2B services. Sygnum holds a banking license in Switzerland and CMS and Major Payment Institution Licenses in Singapore. Additionally, the group is regulated by the Abu Dhabi and Luxembourg global financial centers.
We believe in a future derived from heritage. Our team of crypto-native professionals comes from banking, investment, and digital asset technology fields. They are dedicated to building a trusted bridge between the traditional economy and the digital asset economy, which we call “Future Finance.” Visit the Sygnum official website to further understand how Sygnum’s mission and values will shape the digital asset ecosystem.
About Chainlink:
Chainlink is the industry-standard decentralized oracle network that has facilitated over $12 trillion in transactions and transmitted over 12 billion on-chain data points for the blockchain ecosystem. Major financial market infrastructures and banking institutions, such as Swift, DTCC, and ANZ, have partnered with Chainlink, successfully demonstrating how financial institutions can interact with tokenized assets on any blockchain using existing infrastructure and messaging standards.
About Fidelity International:
Fidelity International provides investment solutions and services to over 2.9 million clients globally, along with expertise in retirement planning. As a privately-owned, goal-oriented enterprise with a 50-year heritage, we focus on intergenerational wealth transfer and long-term investments. Fidelity International covers over 25 markets worldwide, with total assets under management of $816.9 billion. Our clients include central banks, sovereign wealth funds, large corporations, financial institutions, insurance companies, wealth management firms, and individual investors.
Fidelity International’s Global Platform Solutions business provides individuals, financial advisors, and employers with world-class investment choices, third-party solutions, managed services, and pension guidance. Combined with the Investment Solutions Services business, Fidelity International represents client investments of $583.8 billion. By combining our expertise in asset management with solutions for workplace and personal investments, Fidelity International is committed to jointly creating a better financial future. For more information, please visit fidelityinternational.com.
This article is for reference only and contains statements about the future. While the content of this article is based on rational assumptions, we cannot guarantee that the final results will align with the ideas presented. Interacting with blockchain networks involves risks, including those arising from user input errors. All content in this article is only valid on the date of initial publication. Due to the inability to predict actual user feedback and future events, the content of this article may deviate from subsequent actual situations, and we may not make corresponding modifications in this article.
