Original author: Krisztian Sandor
Original title: Chainlink Partners With Major Financial Players to Improve Corporate Actions Data Reporting Using AI and Blockchain
Original source: Coindesk
Compiled by: Koala, Mars Finance
Chainlink co-founder Sergey Nazarov spoke at the project's SmartCon conference held in Barcelona this week. (Chainlink)
Reports suggest that the automation and standardization of corporate actions data help to significantly reduce operational inefficiencies. Currently, companies lose millions of dollars each year due to errors and manual data processing.
Chainlink (LINK)'s new initiative aims to standardize the process of collecting and distributing information about key actions taken by companies (such as mergers, dividends, and stock splits)âimportant data that is currently dispersed across various countries.
Major participants include Euroclear (a leading clearing and settlement company in traditional finance), Swift (a messaging platform connecting banks globally), and Franklin Templeton (an asset management company), while crypto projects Avalanche (AVAX), ZKsync (ZK), and Hyperledger Besu have also contributed.
The head of digital assets and tokenization at Wellington Management stated that the process could 'significantly reduce the required manual processes, thereby greatly improving operational efficiency and lowering costs.'
Data provider Chainlink (LINK) announced on Monday that it has partnered with major financial market participants such as Euroclear, Swift, and Franklin Templeton to launch a program aimed at utilizing artificial intelligence and blockchain technology to make corporate actions data more accessible and standardized. Chainlink's report states that the project aims to address a long-standing challenge in the financial sector: the lack of standardized and real-time data on corporate actions, such as mergers, dividends, and stock splits, which are notoriously fragmented in markets like Europe.
Reports indicate that automating and standardizing this information helps significantly reduce operational inefficiencies. Currently, companies lose millions of dollars each year due to errors and manual data processing. This data is often used by investors.
Chainlink co-founder Sergey Nazarov stated, 'Transforming various incoherent corporate actions data into a unified 'golden record' that hundreds of market participants can rely on as a single source of truth is indeed a huge advancement.' 'This will help financial markets synchronize faster, reduce errors, and lower costs.'
The first phase of the plan focuses on company behavior data for stocks and fixed income securities across six European countries. Chainlink connects its decentralized oracle with large language models (LLMs) such as OpenAI's ChatGPT, Google's Gemini, and Anthropic's Claude to extract company behavior data from various sources and transform it into a structured format that conforms to global financial standards like ISO 20022 and Securities Market Practice Group (SMPG) guidelines (referred to as the 'golden record'). It then uses Chainlink's Cross-Chain Interoperability Protocol (CCIP) to publish and distribute data across different blockchains.
Reports indicate that later stages will explore how to integrate this framework with existing financial systems (such as Swift messaging standards) for broader industry adoption.
Participants in the program include Euroclear, Swift, UBS, Franklin Templeton, Wellington Management, CACEIS, Vontobel, and Sygnum Bank. Blockchain ecosystem partners Avalanche (AVAX), ZKsync (ZK), and Hyperledger Besu network have also contributed.
'By leveraging artificial intelligence and Chainlink oracles to interpret, standardize, and provide high-value unstructured data, we can greatly reduce the manual processes required, thereby significantly improving operational efficiency and lowering costs,' said Mark Garabedian, Director of Digital Assets and Tokenization Strategy at Wellington Management.
