ANZ and Chainlink Labs have unveiled the findings of their recent collaboration, which sought to establish a connection between the Avalanche and Ethereum blockchain networks for on-chain settlement solutions. ANZ utilized Chainlink’s cross-chain interoperability protocol (CCIP) to demonstrate how clients can access, trade, and settle tokenized assets across different networks and currencies seamlessly. Through CCIP, ANZ simulated the purchase of tokenized assets on Ethereum at a stablecoin-denominated price, with transaction initiation and settlement taking place on Avalanche using another stablecoin. This initiative revolves around the “Delivery vs. Payment (DvP)” concept, a standard settlement protocol for securities transactions. By tokenizing assets and payments on the same blockchain infrastructure, ANZ could potentially modernize traditional DvP processes and ensure atomic, non-intermediated settlements.
Lee Ross, ANZ’s technology domain lead, commented on the collaboration, stating that an ANZ customer used the bank’s digital asset services portal to acquire a tokenized ANZ-issued New Zealand dollar stablecoin (NZ$DC) via Avalanche. On the Ethereum network, the customer then purchased tokenized Australian nature-based assets in the form of NFTs, denominated in tokenized ANZ-issued Australian dollar stablecoins (A$DC). ANZ utilized its own Avalanche Evergreen Subnet, which offers Ethereum virtual machine (EVM) compatibility, permissioning, and customized gas tokens, for this simulation.
Anurag Soin, ANZ’s product lead of digital added services, emphasized that this collaboration with Chainlink and Avalanche showcases the blending of traditional finance and decentralized finance (DeFi) within the tokenized asset ecosystem. ANZ provides banking services to over 8.5 million retail and institutional customers across nearly 30 markets. As the project progresses, ANZ aims to deploy the solution on blockchain mainnets, ushering in a new era of blockchain-enabled asset settlement in the financial services industry.
In February, Citigroup, an American investment bank and financial services provider, partnered with Ava Labs, the developer of the Avalanche network, to successfully complete a proof-of-concept for tokenizing private equity funds using the Avalanche blockchain.
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