Data provider Chainlink (LINK) has recently launched an innovative initiative in collaboration with major financial firms such as Euroclear, Swift, and Franklin Templeton. The goal of this project is to streamline the process of collecting and sharing crucial information regarding corporate actions like mergers, dividends, and stock splits. Currently, this data is scattered across different countries, making it difficult to access and utilize efficiently.
Through the use of artificial intelligence and blockchain technology, Chainlink aims to standardize and automate the collection of corporate actions data. This initiative is expected to bring significant benefits to the financial industry by reducing operational inefficiencies and cutting costs associated with manual data processing errors. Investors rely heavily on this data, and having a reliable and standardized source could revolutionize the way financial markets operate.
Chainlink’s co-founder, Sergey Nazarov, emphasized the importance of transforming disconnected corporate actions data into unified “golden records” that can serve as a single source of truth for market participants. This approach will help synchronize financial markets quicker, minimize errors, and drive cost savings across the board.
The first phase of the initiative focused on equity and fixed-income securities in six European countries. Chainlink utilized decentralized oracles and large language models to extract and structure corporate actions data according to global financial standards. The data was then published and distributed using Chainlink’s Cross-Chain Interoperability Protocol (CCIP) across different blockchain networks.
Future stages of the project will explore integration with existing financial systems, such as Swift messaging standards, to facilitate broader industry adoption. Participants in the initiative include a range of prominent financial institutions and blockchain ecosystem partners, all working together to leverage AI and Chainlink’s technology to enhance operational efficiency and reduce costs.
In conclusion, Chainlink’s collaboration with top financial firms to enhance AI and blockchain corporate actions data reporting is a significant development in the financial industry. By standardizing and automating the collection of crucial data, this initiative has the potential to revolutionize how financial markets operate and provide substantial benefits to investors and businesses alike.
