Chainlink could become a basic layer for traditional funding as capital markets are increasingly embracing blockchain infrastructure, according to a report from Investment Bank Jefferies after a call with chainlink co-founder Sergey Nazarov.
The decentralized Oracle Network connects smart contracts with data in the real world and off-chain systems, enabling advanced use cases such as tokenized asset run, parametric insurance and cross-cutting chain messaging.
Jefferies said link (link), chainlink’s native token, will benefit as tokenization accelerates.
From September, Chainlink secured $ 103 billion in assets through its Oracle feeds, up from $ 23 billion in the early 2024, supporting over 2,500 projects. Partnerships with institutions such as Swift, DTCC, Euroclear and JPMorgan (JPM) emphasize its role in the brodal formation of crypto and tradfi, wrote analysts Andrew Moss and Matthew Molta.
Tokenization that converts assets in the real world into programmable digital tokens drives the demand for infrastructure that can safely connect environments and off-chain environments. Chainlinks Cross-Chain Interoperability Protocol (CCIP) and decentralized Oracle Networks (DONS) address this challenge that supports real-time running and automation across financial, insurance and supply chains, the analysts wrote.
Jefferies said digital asset recording remains early, but tokenization pilots are moving rapidly towards production. With a link used to pay for services, hub operations and stacks, the growing demand for chainlink’s infrastructure could give token holders a call for future cash flows.
While rivals like Layerzero and Pyth are found, Chainlink’s network effects and first-mover advantage can give it a durable Vollgrav in blockchain infrastructure, the bank said.
The analysts estimated that the tokenized asset value has reached $ 30 billion excl. Stablecoins, an increase of 253% to date.
As tokenization reduces operating costs and increases liquidity, Jefferies said it expects institutional investors to migrating against blockchain-based settlement layers and placing chain links in the middle of the transition.
Read more: Polymarket connects to chainlink to cut manipulation risks in price efforts
