Using blockchains would make it easier to transfer value, Swift says.
Chainlink would serve to connect different networks together.
A new statement from the Swift interbank network has bolstered some traders’ optimistic expectations for cryptocurrency Chainlink (LINK).
Swift has published Today, the company has successfully demonstrated this in cooperation with the service platform Web3 Chainlink and more than a dozen large financial institutions such as the Citi banking group can provide a single point of access to multiple networks using blockchains.
He states that his experiments demonstrate that Swift’s existing infrastructure “can seamlessly facilitate the transfer of tokenized assets across multiple public and private blockchains” and “the operational challenges and investments that institutions need to support the development of tokenized assets.” need, significantly reduce”.
Regarding the experiments, Swift points this out Chainlink was used to connect the Swift network to Ethereum’s Sepolia networkusing its Cross Chain Interoperability Protocol (CCIP).
“By combining Swift and CCIP, we were able to show that this new level of interoperability across different blockchains is now possible with minimal resources from even the largest banks and market infrastructures,” said Sergey Nazarov, Co-Founder of Chainlink.
Likewise, the head of Chainlink emphasized, “It is now clear that both the major global banks and key market infrastructures anticipate that there will be greater adoption of digital assets across the banking sector, and that that adoption will be driven by multiple different blockchain technologies will take place.” at the same time. At the same time”.
A quick introduction increases bullish enthusiasm
Swift estimates that while tokenization is still in its infancy, 97% of institutional investors believe it will revolutionize wealth management. and it will be a positive force in the industry, primarily due to its potential to increase efficiencies, reduce costs and make it more accessible to more people.
However, he sees an issue that poses challenges for investors and institutions in that tokenized assets are managed on different networks, each with its own functionality and liquidity profile. “Interoperability between these blockchains is critical, otherwise financial institutions will have to build connections to each platform, leading to significant operational challenges and costs,” he pointed out.
As such, he clarified that experimentation in this area “is part of Swift’s broader strategy to ensure secure and global interoperability as new platforms and technologies emerge,” such as central bank digital currencies (CBDCs).
“For tokenization to reach its potential, institutions must be able to seamlessly connect to the entire financial ecosystem. Our experiments clearly demonstrated that Swift’s existing secure and reliable infrastructure can provide this central point of connectivity.”
Tom Zschach, Swift’s Chief Innovation Officer.
Given this statement, some cryptocurrency traders and distributors expressed their optimistic enthusiasm about the cryptocurrency on social networks Chainlink native, LINK. Among them is, for example, David Miller, who uses the currency symbol through the marking said “We just won.”
Likewise the trader who identifies himself as Trade1000x taken into account that people are “not optimistic enough” as they see fit. He emphasized that this Swift initiative will drive “the next level of business adoption of blockchain.”
Those expectations reinforce those that have been voiced since Swift reported it was working with Chainlink. As part of this, the trader is known as K Crypto warned A month ago, this collaboration opened up new avenues of adoption and “could be the catalyst for a significant price surge,” not just for LINK, but for other crypto assets like Bitcoin (BTC).
However, LINK’s price has not shown any notable movement following the Swift announcement at present. As for the last ten days, it continued trending around the $6 mark, while BTC slowed its recent rise to $27,000 today, CriptoNoticias reported, returning to the $26,800 zone.