Chainlink $15 founder Sergey Nazarov stated that trillions of dollars from the traditional finance world will flow into the crypto sector through real-world assets. This assertion highlights the potential impact of integrating traditional financial systems with decentralized finance (DeFi), suggesting a significant transformation in how these sectors interact.
Impact of Traditional Finance on DeFi
Speaking at the TOKEN2049 conference in Singapore, Nazarov emphasized that the traditional finance sector will ultimately become the largest client of DeFi. He predicted that real-world assets will surpass the market value of other cryptocurrencies, paving the way for traditional finance’s involvement in the blockchain industry.
Sergey Nazarov: “This is about new net worth, worth trillions of dollars coming from the traditional market.”
The Future of Digital Finance and Chainlink’s Role
Nazarov defined the future of the blockchain industry as one that empowers real-world assets rather than merely serving cryptocurrencies. He articulated that the industry will focus on tokenizing real-world assets through blockchain technology, rather than being limited to digital currencies.
Sergey Nazarov: “Our industry will be about blockchain technology enabling the tokenization of real-world assets, as forecasts indicate.”
Nazarov stressed that Chainlink’s ecosystem aims to ensure the growth and security of DeFi while meeting the reliability and guarantees needed by both DeFi and traditional finance communities.
CCIP and the Future of the Internet
He expressed that the Cross-Chain Interoperability Protocol (CCIP) will facilitate the flow of data and value across all networks, becoming one of the essential protocols of the internet. He predicted that CCIP could be key to a new structure known as the internet of contracts and value, provided developments proceed as planned.
Sergey Nazarov: “CCIP is the fundamental mechanism enabling the flow of data and value across all these chains and networks.”
Nazarov noted that with efforts from Chainlink and other projects, the integration of traditional financial assets with blockchain is expected to accelerate, strengthening the connection between DeFi and traditional finance while presenting new opportunities. Major players, including BlackRock with its BUILD tokenized bond surpassing $500 million, are also exploring real-world asset integration.