Why $LINK is excited 🚀

Chainlink Completes Pilot with Bank of America

The pilot program tested a way to bring traditional financial fund data to the blockchain, with major banks such as JPMorgan Chase and Bank of New York Mellon participating.

The Depository Trust & Clearing Corporation (DTCC), the world’s largest settlement system, and blockchain oracle Chainlink recently completed a pilot program involving several major US banks. The program aims to promote the tokenization of traditional financial funds.

The program, called the Smart NAV Pilot Program, aims to standardize the provision of fund net asset value (NAV) data across different blockchains. This is achieved by leveraging Chainlink’s Cross-Chain Interoperability Protocol (CCIP), as outlined in a DTCC report on May 16.

According to the report, the pilot demonstrated that by providing structured data on the chain and establishing standard roles and processes, the underlying data can be integrated into a variety of on-chain applications. These include tokenized funds and “bulk consumer” smart contracts for managing data from multiple funds.

These capabilities not only pave the way for future industry exploration, but also support a variety of downstream use cases, such as brokerage applications, simplified data dissemination, and easier access to historical fund data. In addition, the pilot promotes better automated data management, minimizes disruption to existing market practices of traditional financial institutions, allows customers to access historical data without manual recording, and provides a wider range of API solutions for price data. #LINKUSD $LINK