Top Australian Bank Leverages Chainlink for Cross-Chain Asset Transactions
Australia's Australia and New Zealand Banking Group (ANZ) recently adopted Chainlink's cross-chain interoperability protocol (CCIP) for simulating tokenized asset purchases.
ANZ successfully conducted a test transaction using A$DC and an ANZ-issued NZ-dollar-denominated stablecoin, demonstrating its commitment to exploring decentralized networks and a ‘test-and-learn’ approach. As per an EY report, this move aligns with growing institutional investor confidence in tokenized assets, with 93% believing in their long-term value.
The blockchain ecosystem’s early-stage development has led to fragmented assets and services spread across different blockchains. ANZ Portfolio Lead Nigel Dobson suggested Chainlink’s CCIP as a solution.
CCIP serves as a blockchain interoperability standard, allowing financial institutions to link various blockchain networks. ANZ partnered with Chainlink CCIP for a test transaction, showcasing secure cross-chain settlements of tokenized assets.
Dobson stressed the importance of connecting existing blockchain networks, addressing the highly fragmented current financial operating model. Australian banks are actively exploring decentralized networks and stablecoins.
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For instance, the National Australia Bank (NAB) introduced AUDN, a stablecoin tied 1:1 to the Australian dollar, on the Ethereum network.
In contrast, the Commonwealth Bank of Australia (CBA) took a cautious approach to cryptocurrency, halting the launch of a crypto services app in May 2022.
CBA made history as the first Australian bank to announce crypto services, but CEO Matt Comyn cited the need for additional customer feedback and regulatory clarity before proceeding with the product rollout. This highlights the evolving landscape of Australian banks’ engagement with blockchain and cryptocurrency technologies.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
