Avalanche and Chainlink Partner for Australasian On-Chain Settlement

ANZ and Chainlink Labs have collaborated to connect the Avalanche and Ethereum blockchain networks for on-chain settlement solutions. ANZ used Chainlink’s cross-chain interoperability protocol (CCIP) to demonstrate how clients can access, trade, and settle tokenized assets across different networks and currencies. This collaboration aims to modernize traditional settlement processes and ensure secure, non-intermediated settlements. By tokenizing assets and payments on the same blockchain infrastructure, ANZ can potentially streamline the process.

ANZ simulated a transaction where a customer used the bank’s digital asset services (DAS) portal to purchase a tokenized ANZ-issued New Zealand dollar stablecoin (NZ$DC) via Avalanche. The customer then bought tokenized Australian nature-based assets on the Ethereum network, which were denominated in tokenized ANZ-issued Australian dollar stablecoins (A$DC). This transaction showcases the seamless transfer of assets between different blockchain networks.

ANZ utilized its own Avalanche Evergreen Subnet for Ethereum virtual machine compatibility, permissioning, and customized gas token. This integration enables ANZ to leverage the benefits of both blockchain networks. Through this collaboration, ANZ aims to explore the potential of blockchain, smart contracts, and tokenization to revolutionize the global financial system.

This partnership emphasizes the convergence between traditional finance and decentralized finance (DeFi) in the tokenized asset ecosystem. ANZ, a leading banking institution, provides services to millions of retail and institutional customers in various markets. As the project progresses, ANZ plans to deploy the solution on blockchain mainnets, paving the way for widespread adoption of blockchain-enabled asset settlement in the financial services industry.

In a similar vein, Citigroup partnered with Ava Labs, the developer of the Avalanche network, to tokenize private equity funds using the Avalanche blockchain. This collaboration represents the growing interest and adoption of blockchain technology in the financial sector.