S&P Global Ratings brings its stableecoin stability assessments directly to blockchains through a partnership with decentralized Oracle Network Chainlink.
Integration allows decentralized financing protocols, smart contracts and financial platforms to access S&P’s risk assessments of stablecoins in real time. According to a press release shared with Coindesk.
The evaluations score stableecoins from 1 to 5 based on their ability to maintain a stable value relative to Fiat currency.
They are included in active quality, liquidity, redemption mechanisms, regulatory status and governance. S&P is currently evaluating 10 stableecoins, including USDT, USDC and Sky Protocol’s USDS/DAI.
Unlike credit assessments, the assessments are designed to measure operational and structural stability. By placing them onchain, DEFI platforms can refer to S&P’s risk assessments automatically without offchain data or manual updates.
The service uses chainlink’s data link infrastructure that allows traditional data providers to publish to blockchains without building new systems. The data is originally launched on the base, an Ethereum Layer 2 network, with additional extensions based on demand.
The move comes when the stableecoin market hit $ 305 billion in activation, up from $ 130 billion the year before, according to Defillama data.
S&P Global has increased its activity in the crypto area since 2021, launching crypto indexes and issuing risk assessments to tokenized funds and defi protocols. Its first credit rating ever to a defi protocol was awarded back in August.
