Taurus partners with Chainlink for broader tokenization adoption

Backed by Deutsche Bank, Taurus has collaborated with Chainlink Labs to advance the use of tokenized assets by financial institutions.

According to company announcements, Taurus will integrate Chainlink’s (LINK) technology to solve key issues in tokenized assets by focusing on security, data accuracy, and cross-chain connectivity for institutional investors.

Partnership details

The partnership aims to tackle some of the biggest challenges in tokenized assets: security, data reliability, and asset mobility between different blockchains.

Through the partnership, Taurus will integrate Chainlink’s Data Feeds and Proof of Reserve features. Data Feeds provide real-time data on asset prices and transactions, while Proof of Reserve ensures transparency and reduces the risk of over-issuance of tokenized assets.

Taurus will also use Chainlink’s Cross-Chain Interoperability Protocol to allow tokenized assets to easily move between different blockchains.

Tokenized assets are digital representations of real-world assets such as stocks, bonds, or real estate that can be bought and sold on blockchain networks. These assets offer greater efficiency and liquidity potential but face issues with 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 believe these innovations will encourage more institutions to adopt tokenized assets as the technology increases liquidity and provides better data integrity.

Taurus has been dabbling in tokenization for some time after receiving regulatory approval from FINMA to offer tokenized securities trading to retail customers. This expanded access to primary and secondary markets by allowing retail users to participate in capital raises and trade digital assets on Taurus’ regulated platform.