Chainlink Surges 4.306% as Institutional Adoption and Partnerships Drive RWA Tokenization

Chainlink's latest price was $24.40, up 4.306% in the last 24 hours. Chainlink has recently made significant strides in the realm of real-world asset (RWA) tokenization, solidifying its position as a key infrastructure provider in the decentralized finance (DeFi) sector. The company has formed strategic partnerships with major financial institutions, including JPMorgan Chase, Swift, UBS, and Ondo Finance, to enhance its institutional credibility and expand its reach in the traditional banking sector.

One of the most notable partnerships is with JPMorgan Chase and Ondo Finance, which successfully completed a cross-chain Delivery versus Payment (DvP) transaction. This achievement demonstrates the maturity of Chainlink’s infrastructure for institutional settlements and paves the way for widespread adoption of its solutions. Additionally, a pilot conducted with Swift and UBS showcased the feasibility of cross-border settlements via a single blockchain network, further cementing Chainlink’s role in the traditional banking sector.

Chainlink’s technology enables smart contracts to securely access real-world data, which is essential for creating reliable tokenized assets. The company acts as an intermediary for transactions between financial institutions, asset issuers, and regulators, positioning itself as the essential bridge between traditional finance and DeFi. This technological backbone has made Chainlink a must-have oracle infrastructure for RWA tokenization.

The RWA market has seen rapid growth, surpassing $50 billion in assets represented on blockchain. This growth is driven by various sectors, including real estate, stablecoins, and new use cases such as music rights and collectibles. Chainlink’s Cross-Chain Interoperability Protocol (CCIP) has played a crucial role in this expansion, facilitating more than 15% of RWA deployments. The protocol allows for seamless movement of tokenized assets across different blockchains, enhancing liquidity and efficiency in the market.

Despite regulatory challenges and increased competition, Chainlink remains the leader in oracles and a pillar of tokenized finance. The company’s growing institutional adoption and strategic partnerships position it as the essential infrastructure provider for new applications in the RWA market. As the second half of 2025 approaches, Chainlink is poised to see an explosion in institutional stablecoins and new use cases for public assets, further solidifying its role in the DeFi ecosystem.

Chainlink’s initiatives continue to drive token activity, with recent reports showing the Chainlink reserve now holds more than 150,000 LINK tokens. The company’s partnerships, including the collaboration with Japan’s SBI Group, further enhance its position in the DeFi sector. The partnership with SBI Group focuses on key financial applications that require secure blockchain connectivity, such as tokenized real-world assets, NAV reporting, proof of reserves, and cross-border payments. This collaboration aligns with Japan’s upcoming yen-backed stablecoin plans and reflects the country’s growing focus on digital finance.

Chainlink’s technology will support various initiatives, including tokenized real estate and bonds, tokenized funds with real-time net asset value information, and regulated stablecoins with transparent collateral auditing. The partnership also aims to support compliant foreign exchange and cross-border settlements, addressing one of the main concerns of financial institutions seeking efficiency in global transactions. SBI Digital Asset Holdings reported that nearly 76% of banks and financial firms intend to invest in tokenized assets, with faster settlement and reduced costs being the main drivers.

Chainlink’s dominance in RWA tokenization is further highlighted by its partnerships with major financial institutions. The company’s technology enables secure and efficient tokenization of real-world assets, making it an essential infrastructure provider in the DeFi sector. As the RWA market continues to grow, Chainlink is well-positioned to capitalize on new opportunities and solidify its role as a leader in tokenized finance.

Bitwise Asset Management submitted a preliminary S-1 registration statement to the U.S. Securities and Exchange Commission (SEC) on August 26, 2025, aiming to launch a spot exchange-traded fund (ETF) physically backed by Chainlink (LINK) tokens. This filing formally initiates the process to establish the first U.S.-listed ETF providing direct exposure to Chainlink's market price, though SEC approval is pending and not guaranteed at this stage.

The proposed ETF would be structured as a Delaware statutory trust, utilizing a legal framework commonly employed by commodity-backed ETFs such as those linked to gold. Specific details like a ticker symbol or listing exchange remain undisclosed in the preliminary filing. The fund intends to achieve its investment objective through the physical replication of LINK token holdings.

Net asset value (NAV) for the fund is planned to be calculated daily using the CME CF Chainlink–Dollar Reference Rate (New York Variant). This benchmark is administered by CF Benchmarks, an FCA-regulated entity already serving other cryptocurrency exchange-traded products. The ETF Trust explicitly states it will not register under the Investment Company Act of 1940 and will not be treated as a commodity pool under CFTC regulations, aligning its regulatory classification with existing commodity-based ETF models.

Security for the fund's underlying LINK token holdings would be managed by Coinbase Custody Trust Company, a New York-based custodian. Custody arrangements include private insurance coverage, consistent with industry practices, though holdings fall outside FDIC protection. The ETF share creation and redemption process is designed to occur in blocks of 10,000 units. Authorized Participants would have flexibility to engage in these transactions using either in-kind transfers of LINK tokens or cash mechanisms, with associated fees applied to ensure operational alignment with the fund's NAV.

A critical element still to be finalized is the management fee, indicated in the initial filing as "0.__%". This fee structure, charged through the transfer of LINK tokens from the Trust's holdings, will be a significant factor in the product's future competitiveness. The regulatory journey ahead involves the SEC reviewing and potentially requesting amendments to the S-1. A subsequent separate exchange rule filing, likely a Form 19b-4, would also be required for listing and trading approval on a national securities exchange, mirroring the established path for similar crypto-related ETPs.

Regulatory conditions potentially impacting the process underwent a shift in July 2025. A recent SEC policy change now permits in-kind creations and redemptions for cryptocurrency exchange-traded products, bringing their operational processes more in line with traditional commodity ETFs. While not a precursor to automatic approval, this adjustment simplifies logistical hurdles should the Bitwise filing ultimately gain SEC authorization.

Approval of the Bitwise Chainlink ETF would mark a significant development for the project, potentially enabling mainstream brokerage access to Chainlink exposure for a wider investor base. Crucially, it would offer institutional investors a regulated investment vehicle to gain exposure to LINK, an important infrastructure component within the broader blockchain ecosystem. Such access could contribute to enhanced market liquidity and tighter price alignment across different trading venues through facilitated arbitrage activities. The Trust's governing documents outline a dissolution procedure involving liquidation of LINK holdings and distribution of the proceeds in U.S. dollars to shareholders.