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- SBI Holdings has partnered with Chainlink to develop tokenized assets, stablecoins, and cross-border payment systems.
- LINK price is struggling to break the $27 resistance despite the major institutional partnership.
Chainlink has secured a significant deal with Japan’s SBI Holdings, a financial group with more than $200 billion in assets. The partnership is expected to push tokenized finance forward in Asia, but LINK, the project’s token, is still struggling to hold above the $27 mark.
Chainlink and SBI Target Tokenized Assets and Payments
As previously mentioned in our report, SBI Holdings has chosen Chainlink to support the rollout of tokenized products and services. The focus of the partnership covers four areas: tokenized real-world assets, tokenized funds, regulated stablecoins, and payment-versus-payment systems.
It is worth noting that tokenized assets such as real estate and bonds will use Chainlink’s Cross-Chain Interoperability Protocol to move across blockchains. Tokenized funds will rely on Chainlink SmartData to publish net asset value on-chain.
According to the update, stablecoins will be monitored with Chainlink’s Proof of Reserve to confirm backing. Meanwhile, payment systems will allow cross-border transactions to be settled in different currencies at the same time.
It is important to add that this is not the first time the two entities have worked together. As highlighted in our previous article, in Singapore, Chainlink and SBI Digital Markets teamed up with UBS Asset Management under Project Guardian, a program led by the Monetary Authority of Singapore, to test smart contracts for fund management.
Similarly, SBI has also been active in other partnerships around tokenized finance. In our recent update, we covered that they worked with Ripple and Web3 company Startale. Notably, the company is moving quickly as Japan prepares to approve a yen-backed stablecoin, a sign that digital assets are becoming more accepted in the country.
A survey by SBI Digital Asset Holdings shows why the partnership may matter. Around 76% of banks and financial firms said they plan to buy tokenized assets because they can settle faster and cost less. The same survey noted that a lack of proper infrastructure remains the main obstacle, something this new partnership with Chainlink aims to solve.
LINK price struggles at $27 resistance
Despite the importance of the news, LINK price has not seen a big rally. The token rose about 1% to $26.3 shortly after the announcement, and open interest in derivatives climbed to $875.7 million. Soon after, the price fell back to around $23.10 with a 6.87% loss.
TradingView charts show that LINK has been forming an ascending triangle, with higher lows but heavy resistance near $27. This pattern can sometimes signal a bullish breakout, but so far LINK has not managed to cross the level. Analysts say stronger volume will be needed for the move to hold.
It is important to add that Chainlink’s future looks promising with SBI’s backing and growing demand for tokenized assets. For now, traders are watching to see if LINK can move above the $27 mark.
In related news, Chainlink has marked an important milestone. As reported last week, the 11th largest cryptocurrency has strengthened its credibility by securing ISO 27001 certification and SOC 2 Type 1 compliance, setting a higher standard for security.
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