Sergey Nazarov: Banks Can Easily Connect to Multiple Blockchains, Says Chainlink Creator
Sergey Nazarov, the creator of Chainlink (LINK), explains in a recent interview that banks and traditional financial institutions can now connect to hundreds of different blockchains effortlessly. He references a recent experiment conducted by SWIFT and several banking giants, including Citi, BNY Mellon, and BNP Paribas, which utilized Chainlink to test interoperability measures.
Testing Interoperability Measures
In June, SWIFT announced its collaboration with Chainlink to address the challenge of blockchain interoperability. The experiment aimed to enable institutions to interact with tokenized assets across different blockchains. The lack of interoperability among blockchains has created friction and overhead for firms.
Achievements from the Experiment
Nazarov highlights three key achievements from the tests. Firstly, it proved that existing bank infrastructure like SWIFT and SWIFT messages can easily connect to multiple chains with minimal effort. This enables banks to efficiently access hundreds of chains. Secondly, it demonstrated that public and private chains can be connected reliably for interbank transactions. Lastly, it showed that private chains can effectively transact with public chains, allowing value from the private banking industry to flow into the public blockchain sector.
Integration of Bank Infrastructure
Nazarov emphasizes that for banks to embrace blockchain technology, they need to connect to it using their existing infrastructure. Banks have invested heavily in securing their infrastructure and training personnel to use it. Therefore, they rely on these systems and are unlikely to shut them down. Chainlink provides a solution for banks to integrate their systems into the crypto space and bring their value onto public blockchains.
Hot Take: Traditional Finance Bridges the Gap into Public Blockchain
Sergey Nazarov, the creator of Chainlink, asserts that recent experiments have demonstrated the ability of banks and traditional financial institutions to easily connect to multiple blockchains. By utilizing existing bank infrastructure like SWIFT and SWIFT messages, these institutions can efficiently access hundreds of chains. The experiments also revealed that public and private chains can be connected reliably for interbank transactions. Moreover, private chains can effectively transact with public chains, enabling value from the private banking industry to flow into the public blockchain sector. This development has significant implications for both the banking world and the public blockchain industry.
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