Infosys partners with Chainlink to advance institutional onchain finance, tokenization, digital assets, compliance, data, and blockchain adoption globally.
Infosys has partnered with Chainlink to help financial institutions adopt blockchain and onchain finance solutions. Infosys supports banks and payments infrastructure with over 1.7 billion customer accounts worldwide. Now, the company will collaborate with Chainlink to enable institutional adoption of its blockchain infrastructure.
Infosys and Chainlink Target Institutional Blockchain Adoption
The collaboration brings together Infosys’ financial technology expertise and Chainlink’s blockchain infrastructure. The companies are working together to help enterprises leverage digital assets and tokenized financial products.
There are a number of technologies that Chainlink has developed to achieve this goal. These include the Cross-Chain Interoperability Protocol, Chainlink Runtime Environment, and Automated Compliance Engine.
The partnership also includes Proof of Reserve, Data Streams, and Data Feeds. These can be used for data delivery, cross-chain transactions, compliance, and asset verification.
Furthermore, Chainlink offers decentralized oracle infrastructure to blockchain applications. It’s technology that links blockchain networks to external data, systems, and financial information.
Chainlink says its infrastructure has supported tens of trillions in transaction value. It has also been embraced by key market infrastructure providers and financial institutions.
The company has previously collaborated with institutions and organisations such as SWIFT, Euroclear, Mastercard, Fidelity International and UBS. The partnerships have been instrumental in Chainlink’s growth in the financial sector.
Infosys, on the other hand, has experience in consulting, enterprise technology, banking and financial services. According to the company, its infrastructure is designed to enable critical banking and payments operations worldwide.
The new partnership is thus a blend of enterprise technology services and blockchain infrastructure. This would enable financial institutions to have access to more seamless tools for onchain applications.
The companies also seek to develop trustworthy technological solutions for decentralized financial systems. The announcement doesn’t name any institutions that will be taking advantage of the combined services, though.
Partnership Places Tokenization and Digital Assets at Center
Financial institutions interested in blockchain are turning to tokenization as a significant focus. It enables the digitization and representation of traditional assets on blockchain networks.
As a result, financial institutions can consider blockchain settlement, trading, and asset management solutions. But the adoption will be contingent upon regulatory needs, technology uptake, and institutional demand.
The partnership between Infosys and Chainlink helps tackle some of these technology needs. Chainlink offers infrastructure for data, interoperability, compliance, and verification.
Meanwhile, Infosys can offer enterprise consulting and technology integration services to financial institutions. This mix may be useful for institutions to integrate their systems into blockchain networks.
According to the companies, the collaboration is a step towards wider institutional onchain finance. The announcement doesn’t, however, specify transaction volumes or adoption targets.
Thus, the effects of the partnership on the immediate situation are hard to quantify. The actual use will depend on future deployments and decisions by financial institutions.
The agreement also does not guarantee that Infosys clients will adopt Chainlink products. Rather, it creates a strategic partnership for multiple Chainlink technologies.
Moreover, measurable adoption may be a long-term process in financial markets. Typically, institutions need to be tested, compliant, security-assessed, and technically integrated before launching new systems.
