The post Institutional Investors Invest Over $30 Million In Chainlink appeared on BitcoinEthereumNews.com.

Institutional investors recently invested over $30 million in Chainlink, highlighting its growing adoption and potential despite current price challenges. Institutional investors have recently poured over $30 million into Chainlink (LINK) tokens, highlighting the growing adoption and trust in Chainlink’s technology across various financial sectors. On-chain data shows that 54 new wallets acquired $30 million in Chainlink within one week. According to on-chain analytics platform Lookonchain, 54 new wallets withdrew 2.08 million LINK tokens, worth $30.28 million, from Binance in the past week. This indicates strong interest from institutional investors, likely driven by Chainlink’s increasing role in financial services and blockchain interoperability. A major factor driving this interest is Chainlink’s Cross-Chain Interoperability Protocol (CCIP). CCIP provides a simple interface for decentralized applications (dApps) and Web3 entrepreneurs, meeting their cross-chain needs securely.  It allows the transfer of data, tokens, or both, supporting smart contracts and externally owned accounts across different blockchains. Currently, CCIP supports nine major blockchains, including Ethereum and BNB Chain. This expansion has been crucial in attracting institutional attention and enhancing Chainlink’s service utility and reach. For example, the Depository Trust and Clearing Corporation (DTCC) completed the Smart NAV pilot in May.  This pilot involved ten market participants using Chainlink’s CCIP to integrate on-chain data into various blockchain applications, ensuring the secure and efficient transmission of net asset value (NAV) data, a key metric for mutual funds. Chainlink’s partnerships with major banks have further boosted its reputation. Institutions like Citi, BNP Paribas, Lloyds Bank, and Deutsche Bank have shown interest in Chainlink’s technology. Analysts attribute this to the increased circulating supply of LINK tokens. In May 2021, the circulating supply was 425 million tokens, which has risen to 608 million as of June 29, 2024. This oversupply, without a matching increase in demand, has stalled the token’s price growth. However,…

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Filed under: News - @ July 4, 2024 7:14 am