Blockchain
Chainlink surges 30% as DTCC explores blockchain for providing mutual fund data
Depository Trust & Clearing Corporation (DTCC) has released the results of its Smart NAV pilot project, which explored extending its mutual fund profile service to leverage distributed ledger technology for data dissemination and consumption. The news led to Chainlink (CONNECTION) up 30% in the last 48 hours, trading at $16.71 from a low of $12.8 on May 15, according to the DTCC concluded That,
“an opportunity for on-chain pricing and fee data that can serve as a key enabler for exploring new ventures.”
The Smart NAV pilot project aimed to utilize DTCC’s digital asset capabilities and Chainlink technology for cross-chain interoperability and blockchain abstraction. This initiative was part of DTCC’s broader efforts to support the financial sector’s exploration of digital assets in financial services.
DTCC is a post-trade financial services firm that provides clearing, settlement and information services for various securities, including stocks, corporate and municipal bonds, mortgage-backed and government securities, money market instruments and over-the-counter derivatives -counter
The pilot targeted the industry’s growing interest in mutual fund tokenization and the need for on-chain pricing and fee data. By taking a chain-agnostic approach, DTCC sought to enable the distribution of net asset value (NAV) data across multiple blockchains, facilitating new use cases.
The Smart NAV pilot included the extension of DTCC’s Mutual Fund Profile Service I (MFPS I), the industry standard for transmitting NAV data. Ten market participants and Chainlink collaborated, focusing on the feasibility and value of providing a DLT-based solution for pricing and fee dissemination. This initiative aimed to incorporate fundamental data into various on-chain use cases, such as tokenized funds and bulk consumer smart contracts, supporting future exploration of the sector.
The pilot demonstrated that structured data distribution on-chain and consolidated roles and processes can improve numerous downstream use cases. These include brokerage portfolio applications and other business workflows, which benefit from automated real-time data dissemination and access to historical data.
Smart NAV’s core capability revolves around making reliable and verifiable data available on any blockchain network to support its use in business processes. DTCC acted as the data provider and governor of the on-chain solution, while Chainlink’s Cross-Chain Interoperability Protocol (CCIP) enabled interoperability. The success of the pilot suggests the potential for broader applications that go beyond the dissemination of price and fee data across multiple blockchains.
Chainlink Market Data
At press time, 14:09 UTC in May. 17, 2024, Chain shirt is ranked 15th by market capitalization and the price is up by 20.34% in the last 24 hours. Chainlink has a market capitalization of $9.73 billion with a 24-hour trading volume of $1.28 billion. Learn more about Chainlink ›
Cryptocurrency Market Summary
At press time, 14:09 UTC in May. 17, 2024, the total cryptocurrency market is valued at $2.41 trillion with a 24 hour volume of $78.19 billion. Bitcoin’s dominance is currently at 54.19%. Find out more about the cryptocurrency market ›