Chainlink, which claims to be the standard for onchain finance, and Coinbase (NASDAQ:COIN) announced that Coinbase’s Project Diamond—a digital asset platform for institutions—is adopting the Chainlink standard as infrastructure for powering the lifecycle management of tokenized assets.
Peregrine, PSG Digital’s regulated business in the ADGM, will be the flagship user.
Chainlink’s Cross-Chain Interoperability Protocol (CCIP) is enabling new assets on Coinbase’s Project Diamond platform to “become interoperable with public or private blockchains.”
As the digital asset space grows, access to secure onchain data, including market prices, “reference data, AML/KYC data, and proof of reserves is becoming more important.”
Moreover, digital assets need to be interoperable across public and private chains, as well as existing financial systems, to “provide access to secondary markets and unified liquidity.”
By natively integrating the Chainlink standard, Coinbase’s Project Diamond platform can now offer data and cross-chain connectivity in “a secure way that helps meet the compliance needs of institutional adopters.”
Chainlink’s Cross-Chain Interoperability Protocol (CCIP) is enabling new assets on Coinbase’s Project Diamond platform to “become interoperable with public or private blockchains.”
Chainlink Functions enriches these assets with “high-quality, real-world data, no matter which chain they move across via CCIP.”
With Chainlink now said to be natively integrated into the Project Diamond platform, asset issuers and fund managers have a solution to scale their tokenized assets “across public and private blockchains through verifiable data connectivity.”
The integration of the Chainlink standard will enhance the existing Coinbase Project Diamond implementation for Abu Dhabi Global Market’s (ADGM) RegLab.
Marcel Kasumovich, Deputy Chief Investment Officer at Coinbase Asset Management said:
“By integrating the Chainlink standard natively into the Project Diamond platform, powered by Coinbase’s tech stack on Base, we’re paving the way for widespread institutional adoption of digital assets.”
Johann Eid, Chief Business Officer at Chainlink Labs:
“This strategic integration helps asset issuers, banks, and financial institutions natively leverage Chainlink for verifiable data and secure cross-chain interoperability to solve critical tokenized asset requirements and increase the institutional adoption of digital assets in a scalable and compliant manner.”
As noted in the update, Project Diamond is being developed by Coinbase Asset Management and initial use cases will be for “registered institutional users outside the U.S. only.”
Project Diamond harnesses the power of the Coinbase technology stack: Coinbase Prime custody, Prime Onchain Wallet, the Project Diamond platform, and USDC, “all connected to the Base layer-2 blockchain.”
Project Diamond is regulated by the Financial Services Regulatory Authority of ADGM “under the trade name Onchain Marketplace.”
Crypto creates economic freedom by ensuring that people can participate fairly in the economy, and Coinbase is on a mission to “increase economic freedom for more than 1 billion people.”
They’re updating the century-old financial system by providing a platform that makes it easy for people and institutions to “engage with crypto assets, including trading, staking, safekeeping, spending, and fast, free global transfers.”
They provide critical infrastructure for onchain activity and support builders who share our vision that onchain is the new online.
And together with the crypto community, they advocate for “responsible rules to make the benefits of crypto available around the world.”
Via initiatives like Project Diamond, Coinbase continues to set standards in digital asset management and blockchain-enabled finance.
Leveraging its expertise in investment structuring and blockchain integration, PSG empowers institutional clients with financial solutions, designed to transform traditional markets.
PSG is committed to shaping the future of finance through “innovation, collaboration, and a focus on sustainability.”
