Taurus, backed by Deutsche Bank, has teamed up with Chainlink Labs to advance the use of tokenized assets by financial institutions.
Taurus will integrate Chainlink’s (LINK) technology to solve key issues in tokenized assets, focusing on security, data accuracy, and cross-chain connectivity for institutional investors, according to company announcements.
Partnership details
The partnership aims to tackle some of the biggest challenges in tokenized assets: security, data reliability, and asset mobility across different blockchains.
Through the partnership, Taurus will integrate Chainlink’s Data Feeds and Proof of Reserve features. Data Feeds provide real-time data about asset prices and transactions, while Proof of Reserve ensures transparency and reduces the risk of over-issuing tokenized assets.
Taurus will also use Chainlink’s Cross-Chain Interoperability Protocol to allow tokenized assets to move easily between different blockchains.
Tokenized assets are digital representations of real-world assets, such as stocks, bonds, or real estate, that can be traded on blockchain networks. These assets offer the potential for greater efficiency and liquidity but face issues related to data transparency and cross-chain transfers.
Chainlink’s infrastructure is designed to solve these problems by providing off-chain data and secure cross-chain connectivity.
Taurus and Chainlink are betting that these innovations will encourage more institutions to adopt tokenized assets, as the technology enhances liquidity and ensures better data integrity.
Taurus has been dabbling in tokenization for a while now, having received regulatory approval from FINMA to offer tokenized securities trading to retail clients. This allowed retail users to participate in capital raises and trade digital assets on Taurus’s regulated platform, broadening access to primary and secondary markets.
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