- Chainlink announced integration with Coinbase Diamond
- This promises to improve data exchange between public and private entities
- The integration utilizes Chainlink’s Cross-Chain Interoperability Protocol (CCIP)
Chainlink continues to strive to bridge the gap between Web2 and Web3 and is integrating with the Coinbase Diamond project.
This is the next step in creating a seamless and reliable data exchange between public and private blockchains and legacy financial systems.
Chainlink and Coinbase Diamond Integration Details
This is not Chainlink’s first step towards bridging the gap between Web2 and Web3 by providing reliable and seamless data exchange between various blockchains, public institutions, and financial systems. For example, Chainlink is already working with SWIFT to enable the system to interoperate with blockchains and advanced financial systems.
Part of this effort is the creation of Chainlink’s Cross-Chain Interoperability Protocol, which serves as the technical basis for efficient, unified, and standardized data exchange between different blockchains and systems. And it is this that made the integration of Chainlink and Coinbase Diamond possible.
Speaking of Coinbase Diamond, the project launched in December 2023 serves a similar purpose and is ADGM compliant and part of the ADGM RegLab sandbox under the trade name Onchain Marketplace. This integration allows for a significant expansion of aggregate capabilities and potentially the development of blockchain adoption in the MENA region.
Marcel Kasumovich, deputy chief investment officer at Coinbase Asset Management, commented:
“By incorporating Chainlink’s standards directly into the Project Diamond platform, built on Coinbase’s Base infrastructure, we’re setting the foundation for widespread institutional adoption of digital assets.”
Conclusion
Chainlink has long shown itself as a player working for the good of Web3, improving its infrastructure and uniting disparate blockchain networks.
Its efforts go a long way toward bridging the gap between Web2 and Web3, which in turn creates the potential for a faster and smoother adaptation of blockchain, perhaps even without abandoning it altogether but transforming and incorporating legacy systems.
This approach is likely to be more realistic and could work better than the complete change that some Web3 pioneers insist on.
