Chainlink Connects Financial Institutions to Swift's Blockchain Ledger for Tokenized Deposits

Chainlink has announced that it is enabling financial institutions to connect their systems and transaction-signing infrastructure to Swift's blockchain ledger for tokenized deposits. This connection will target institutions that use tokenized deposits.

The setup uses Chainlink's Runtime Environment, or CRE, and its self-signing model. According to Chainlink, the institution retains control of the keys authorizing transactions while Chainlink orchestrates workflows between the institution's own ledger and Swift's ledger.

Swift's blockchain ledger is built to coordinate 24/7 cross-border payment workflows involving tokenized deposits issued by banks. Those deposits remain recorded on the ledgers of participating banks, preserving the underlying location of the deposit even as payment instructions and workflow coordination are handled through the ledger.