Blockchain oracle network Chainlink has integrated with Coinbase’s Project Diamond, a tokenized asset platform tailored for global institutions. This collaboration promises enhanced verifiable data transmission and cross-chain interoperability, bolstering the lifecycle management of tokenized assets on Coinbase’s platform.
A Regulated Path to Interoperability
Project Diamond operates under the regulation of the Financial Services Regulatory Authority (FSRA) of the Abu Dhabi Global Market (ADGM). Branded as the Onchain Marketplace, the platform is also part of the ADGM RegLab sandbox, which fosters innovative financial solutions. The integration with Chainlink upgrades this implementation, ensuring compliance and efficiency.
Chainlink’s Cross-Chain Interoperability Protocol (CCIP) plays a pivotal role in this collaboration, connecting public and private blockchains with traditional financial systems. This enables seamless token transfers and smart contract messaging across networks. Marcel Kasumovich, Deputy Chief Investment Officer at Coinbase Asset Management, emphasized the significance of the partnership, stating:
“By integrating the Chainlink standard natively into the Project Diamond platform, powered by Coinbase’s tech stack on Base, we’re paving the way for widespread institutional adoption of digital assets.”
Expanding Chainlink’s Reach
Chainlink Labs, the primary developer behind Chainlink, announced the establishment of a new entity under the ADGM Registration Authority to spearhead its growth in the Middle East and North Africa (MENA) region. Angie Walker, Chainlink Labs’ Senior Executive Officer for Abu Dhabi, highlighted the region’s role as a global innovation hub, driving the adoption of on-chain finance.
Chainlink’s integration with Project Diamond aligns with its broader vision for the tokenized asset market, which the company predicts will reach $10 trillion by 2030. The company’s collaboration with SWIFT further enhances its capabilities, enabling legacy financial systems to interact with blockchain technology seamlessly.
Building the Future of Finance
As part of its expanding use cases, Chainlink continues to develop solutions that prioritize user privacy and security. Its involvement in initiatives like Singapore’s Project Guardian demonstrates its commitment to driving blockchain adoption across the global financial ecosystem.
With this latest integration, Chainlink and Coinbase’s Project Diamond are setting the stage for the next wave of institutional adoption, bringing tokenized assets closer to mainstream finance.