Chainlink Joins Forces with Swift and 12 Major Banks for Blockchain Testing

Updated: 07 June 2023

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Chainlink is collaborating with a Global Financing messaging firm, Swift, and other financial bodies to conduct experiments. The focus is on connectivity and interoperability across public and private blockchains.

Most cryptosystems optimize interoperability to create a seamless user experience across several blockchains. Interoperability enables users can transact across several blockchains without necessarily swapping tokens or undergoing a rigorous procedure.

Chainlink Collaborates With Swift

Chainlink announced the collaboration with the Swift community and over a dozen financial institutions to conduct a connectivity and interoperability experiment on Twitter.

Notably, these experiments cover public and private blockchains and are a significant step in linking traditional finance systems to blockchains. According to Sergey Nazarov, a common connectivity layer across the various chains is a critical building block for on-chain finance adoption.

Swift, also reacting to the news, confirmed their collaboration with other financial institutions, including BNP Paribas, Clearstream, Euroclear, and SIX Digital Exchange (SDX). The proposed experiments will test the transfer of tokenized assets between two wallets on the same network.

Ethereum’s Sepolia test net will be the first use case. Also, the experiment’s second phase involves transferring tokenized assets from a public blockchain to a permissioned blockchain. Additionally, tokenized assets transfer from Ethereum to another public blockchain is the final phase of the experiment.

LINK Displays Price Volatility Despite Positive Announcement

Meanwhile, the native token of the Chainlink network, LINK, shows price volatility today despite the recent collaboration with Swift and other notable institutions.

LINK is volatile on the daily chart forming a red candle. The 200-day Simple Moving Average (SMA) has dropped below the 50-day SMA forming a Death Cross, which is a bearish signal.

LINK is trading below its 50-day and 200-day SMAs and has a bearish sentiment in the short and long term. It implies that LINK will likely lose some of its price gains if the bears continue to mount pressure.

Also, the Relative Strength Index (RSI) is 38.58, close to the oversold region 30. The RSI indicator is dropping downwards, confirming the prevalent bearish sentiment on the chart today.

LINK’s Moving Average Convergence/Divergence (MACD) is below its signal line and showing negative values. It is a bearish sentiment for the asset and suggests a further price drop. The red histogram bars confirm that the bears have seized control of the asset’s price.

Notably, LINK’s trading volume is down by 3.33% today at press time. It is currently trading at $6.12, a decline from yesterday’s closing price of $6.26.

Despite its bearish signals, the recent partnerships and innovations may boost activities with LINK again. At press time, the available crypto market cap is up by 2.15% today, a relief from yesterday’s slump.

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