Coinbase’s Project Diamond Embraces Chainlink Standard
Coinbase’s Project Diamond has recently integrated the Chainlink Standard to facilitate the adoption of digital assets among institutional users, as per a statement shared with CryptoSlate on December 10.
Project Diamond Overview
Managed by Coinbase Asset Management, Project Diamond targets institutional users globally, excluding the US. It utilizes a robust infrastructure comprising Coinbase Prime custody, the Prime Onchain Wallet, the Project Diamond platform, USDC, and the exchange’s Ethereum layer-2 network, Base.
The initiative operates under regulation by the Financial Services Regulatory Authority of the Abu Dhabi Global Market (ADGM) under the trade name Onchain Marketplace.
Utilizing Chainlink Integration
Through integrating Chainlink, Project Diamond aims to provide tokenized asset services to asset issuers and fund managers in a secure and compliant manner. Peregrine PSG Digital, a regulated ADGM entity, is the primary user selected for this purpose.
The move caters to the rising demand for reliable data in the crypto industry, including market prices, proof of reserves, and AML/KYC data. It also addresses the necessity for cross-chain interoperability and seamless integration with traditional financial systems to enhance secondary market access and liquidity.
Chainlink’s Cross-Chain Interoperability Protocol (CCIP) enables Project Diamond to ensure smooth cross-chain operations for new assets. Additionally, Chainlink Functions enrich tokenized assets with real-world, verifiable data across various blockchains.
Empowering Tokenized Assets
Johann Eid, chief business officer at Chainlink Labs, highlighted the significance of end-to-end lifecycle management for tokenized assets. He emphasized that the collaboration empowers asset issuers and financial institutions to effectively leverage secure and interconnected blockchain solutions.
Expansion in MENA Region
Chainlink Labs’ establishment of an office in Abu Dhabi under the Registration Authority of ADGM on December 10 signifies its growing presence in the MENA region. This local expansion aims to cultivate strategic partnerships with financial institutions and promote blockchain solution adoption globally.
Hamad Sayah Al Mazrouei, CEO of the ADGM Registration Authority, emphasized the increasing demand in the region for blockchain-based financial solutions. He highlighted Abu Dhabi as an ideal environment to support the expansion of innovative technologies like the Chainlink Standard.
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