Chainlink Secures $50M Tokenized Treasury for Sygnum

Institutional interest in Chainlink’s LINK token rises as Fidelity International and Sygnum partner to offer NAV data on-chain, enhancing fund transparency.

Lookonchain reports that institutional interest in Chainlink’s LINK cryptocurrency has increased.

As announced on July 3, Fidelity International and Sygnum have partnered with Chainlink to offer Net Asset Value (NAV) data on-chain.

This collaboration demonstrates the potential progress made possible by tokenized assets, which will improve fund data accessibility and transparency. It will specifically support Sygnum’s on-chain representation of Fidelity International’s $6.9 billion Institutional Liquidity Fund units, which currently hold $50 million of tokenized Matter Labs Treasury reserves issued on the zkSync Blockchain.

Chain-level NAV information

Since NAV data shows the price at which investors purchase or redeem a fund unit, it is essential to the financial sector. By bringing this data on-chain through the financial institution’s cooperation with Chainlink, the investing experience would be enhanced. According to the news release:

“With Chainlink, NAV data can be reported and synchronized on-chain accurately, providing real-time transparency and access to historical data for Sygnum, its clients, and market participants.”

Chainlink provides a chain-agnostic solution for NAV data distribution that guarantees safe data transfer over any blockchain or off-chain system.

In addition, this integration satisfies the fundamental needs for tokenized assets, permitting dynamic synchronization and cross-chain interoperability to guarantee current programmable assets.

According to Sygnum’s Head of Tokenization, Fatmire Bekiri, this collaboration closes the knowledge gap between the blockchain and traditional finance sectors.

Co-founder of Chainlink Sergey Nazarov concurred, pointing out that fund tokenization is becoming increasingly common. He continued, saying:

“The global reach and efficiency benefits of tokenized funds are far greater than traditional methods and will over time become the way the entire asset management industry operates.”

Institutional usage of CHAINLINK increases

As institutional interest in Chainlink’s LINK token grows, a new cooperation is formed.

Blockchain watchdog Lookonchain revealed on July 2 that a whale or institution was gathering the native token of the Oracle network. Fifty-four new wallets withdrew 2.08 million, or more over $30 million, from the Binance exchange, according to the analyst.

Cryptocurrency traders typically see exchange withdrawals as a bullish indication that an investor is hesitant to sell and intends to hold onto the asset for the long run.

As of publication, LINK’s price had dropped by 0.5% to $14.4. However, the move had minimal effect on the stock’s stability over the previous day.