Hassan Maishera
Chainlink has announced a partnership with Fidelity International and Sygnum to bring Net Asset Value (NAV) data onchain. The announcement was made at the Point Zero Forum in Zurich.
This collaboration marks a significant step towards asset tokenization and improved accessibility of key asset data. The initiative focuses on the onchain representation of Fidelity International's $6.9 billion Institutional Liquidity Fund, recently issued by Sygnum.
Sygnum Tokenizes Matter Labs' Treasury Reserves
Sygnum has tokenized $50 million of Matter Labs' company treasury reserves, which are held in Fidelity's International money market fund and issued on the ZKsync blockchain.
NAV data, a crucial component in the traditional fund industry, can now be accurately reported and synchronized onchain through Chainlink's technology. This allows for real-time transparency and access to historical data for Sygnum, its clients, and broader market participants.
Chainlink's "chain-agnostic approach" enables secure dissemination of NAV data across any blockchain or existing offchain systems.
Chainlink Enables Onchain NAV Data Reporting
Sergey Nazarov, Co-founder of Chainlink, stated, "With Chainlink, NAV data can be accurately and securely reported and updated onchain, as well as across any public or private blockchain." He added, "Fund tokenization is likely the largest digital asset trend happening today, and it is a large confirmation that global asset management firms are entering this growing market."
The Rise of Tokenization
This partnership strengthens the trend of asset tokenization. In October 2023, Sygnum collaborated with Float and Fasanara Capital to release a new tokenized private debt instrument on the Polygon blockchain, reflecting increased interest in tokenization for private markets, particularly private debt.
As fund tokenization continues to grow, this collaboration sets a new standard for integrating traditional finance with blockchain technology, paving the way for a more interconnected and efficient financial ecosystem.
