Tuesday, January, 21, 2025

Chainlink Powers S&P Digital Markets 50 Index Onchain with Real-Time Data

Chainlink partners with Dinari and S&P Dow Jones to bring the S&P Digital Markets 50 Index onchain, merging traditional finance with blockchain technology.
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Areeba Rashid

Areeba Rashid is a dedicated crypto news writer with a passion for making complex topics accessible to everyone. She covers the latest developments in the crypto world, including in-depth price analysis, helping readers stay informed and make sense of market trends.
  • Chainlink partners with Dinari and S&P DJI to tokenize the S&P Digital Markets 50 Index.
  • Real-time data from Chainlink’s oracle network ensures accuracy and reliability on blockchain.
  • The tokenized index includes 35 blockchain-focused companies and 15 major digital assets.

Chainlink has collaborated with Dinari and S&P Dow Jones Indices to put the S&P Digital Markets 50 Index on the blockchain. The index will tokenize traditional financial data with digital assets, as announced on November 5. The partnership seeks to establish a new standard of hybrid financial products.

The S&P Digital Markets 50 Index will cover the 35 U.S.-based companies that are first-movers in blockchain usage and 15 large digital assets. It will raise the use of blockchain technology to increase transparency, and it will be tokenized with the help of the dShares product by Dinari. 

The Oracle network of Chainlink will offer brochured, real-time data on prices. This ensures that the index remains accurate and reliable even after being transferred to blockchain infrastructure.

Redefining Finance with Blockchain-Backed Index

According to Gabe Otte, the CEO of Dinari, it matters that the information is reliable. He argued that S&P Dow Jones Indices and Chainlink will provide as much reliability to tokenized benchmarks as possible, thereby ensuring integrity and verifiability guarantees. The project will redefine the framework of classic financial principles but in a blockchain environment, offering an improved framework that is safer and more transparent.

The S&P Digital Markets 50 Index is to be launched in the fourth quarter of 2025. Such tokenized removal of the chain will be among the first that incorporates both traditional equity and cryptocurrency data into a fully verifiable on-chain bin. 

The dShares structure proposed by Dinari will facilitate individual representation of each of the 35 U.S.-listed stocks and 15 digital assets by a tokenized representation. The investors will enjoy the benefit of full economic rights. Such as dividends and a redemption trail, ensuring a secure investment experience.

Also Read: Bitcoin Reserve Is the Only Solution to U.S. Debt, Says Senator Lummis

In the case of Chainlink, this collaboration enhances its institutional finance even more. Its decentralized oracle network will provide safe real-time information on S&P Dow Jones Indices to the blockchain. The integration will endear the benchmark to a tamper-free, transparent pricing infrastructure. Establishing a proven and verifiable system for the investors.

This partnership was preceded by another major integration that had been announced between Chainlink and FTSE Russell on November 3. Chainlink will enable FTSE Russell to provide key indices such as Russell 1000, 2000, and 3000 to the blockchain through its decentralized oracles. These collaborations indicate the increased need for tokenized data infrastructure.

However, large financial institutions, UBS, Swift, Euroclear, and Mastercard, already use Chainlink infrastructure. It also favors decentralized financial procedures, such as Aave, GMX, and Lido. The integration of Chainlink between traditional finance and decentralized ecosystems keeps rising with the increasing use of blockchain.

Also Read: YZi Labs-Backed Apriori Faces Airdrop Scandal After 5,800 Wallets Claim Tokens

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