Backed and Chainlink launched xBridge, the first stock bridge for tokenized stocks. The bridge ensures corporate actions are maintained across chains. Backed, a leading provider of compliant tokenized equities and ETFs, has teamed up with Chainlink. Together, they have officially deployed xBridge. This new product is the first bridge that enables the movement of tokenized stocks from one blockchain to the other. Crucially, it does so without losing fidelity to the actions of corporations. These actions include dividend paybacks and stock splits. xBridge Synchronizes Corporate Actions Across Chains xBridge is powered by Chainlink’s CCIP. The bridge helps users to safely move tokenized equities on both the Ethereum and Solana blockchain. This ensures that Backed’s xStocks are always backed. It also correctly indicates the traditional behavior of stocks over the networks. The bridge is created with Chainlink’s industry-standard Cross-Chain Interoperability Protocol (CCIP). This provides a secure way of synchronizing data and value across disparate networks with each other. Therefore, xBridge utilizes highly secure Chainlink CCIP. This protocol serves as the universal standard for connecting different blockchains in a safe manner. Related Reading: Chainlink CCIP to Boost Coinbase Wrapped Assets Growth Across Blockchains | Live Bitcoin News One of the xBridge’s most important features is the ability to ensure consistency. Tokenized stocks must strictly follow the behaviour of the assets they are based on. This encompasses all corporate acts, which include stock splits. The bridge aims to make tokenized stocks more liquid and useful. Moreover, it achieves this by facilitating seamless movement across blockchains. Backed’s co-founder, Adam Levi, said this will enable tokenized stocks to “flow as freely as any other crypto asset.” Backed Finance is using the entire infrastructure of Chainlink. This includes Chainlink Price Feeds for the Real-Time Data. It also utilizes the Chainlink Proof of Reserve transparent verification of collateral. As a result, associated data is kept in sync across networks. Launch Bridges TradFi with DeFi Ecosystems This launch is a great step in bridging traditional finance (TradFi) to decentralized finance (DeFi). Backed Finance issues tokens that are fully collateralized. These tokens are used to keep track of the value of physical assets such as stocks and ETFs. They are also compliant with MiFID II. The utilization of Chainlink’s infrastructure helps solve important challenges. These include data synchronization and fragmentation in terms of liquidity. These problems are common to the tokenized asset economy. The partnership builds on past partnerships. Major financial institutions are already working with Chainlink. These include Swift, UBS, and ANZ. They are looking into institutional use cases for tokenized assets. Furthermore, they are working on cross-chain settlement solutions. The value of the Chainlink (LINK) token is currently around $14.17 USD. It has a market capitalization value of more than $9.8 billion. This high market valuation shows how important the role of the network is. Ultimately, Backed and Chainlink’s release of xBridge represents an important step toward viable tokenized markets. The bridge also strengthens trust as it preserves corporate actions across chains. Moreover, it improves asset mobility. With more network access, xBridge could help unlock broken liquidity and move tokenized equities closer to mainstream financial use. The post Backed and Chainlink Launch xBridge for Tokenized Stocks appeared first on Live Bitcoin News.

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