, and Cross-Chain Interoperability Protocol (CCIP) to improve the transparency and usefulness of LBTC.){kind=link}
The decentralised computing platform Chainlink and Lombard Finance, a Bitcoin liquid staking platform, earlier today announced their collaboration to advance a safe, scalable, decentralised BTC-based economy using Chainlink’s crucial tokenisation infrastructure and Lombard’s flagship LST, LBTC.
What Does the Lombard Finance & Chainlink Partnership Bring to the Table?
Lombard will incorporate Price Feeds, Proof of Reserve (PoR), and Cross-Chain Interoperability Protocol (CCIP) to improve the transparency and usefulness of LBTC across the multi-chain ecosystem and promote safe markets around it.
These services guarantee tokenised assets over their whole life cycle on almost any blockchain by utilising Chainlink’s industry-leading decentralised oracle network, facilitating transactions worth over $16 trillion.
By enabling safe, decentralised BTC lending, borrowing, and staking, LBTC aims to link Bitcoin to DeFi. The goal of Lombard’s platform is to maximise the potential of DeFi on BTC (BTCFi), which is backed by Babylon’s BTC staking protocol and constructed on institutional-grade infrastructure.
According to an official blog, Lombard and Chainlink’s partnership will allow users, layer-2 networks, and blue-chip DeFi protocols to create new use cases for LBTC. It also announced Lombard’s intention to be a launch partner for a planned CCIP security-enhancing innovation.
Setting Industry Standards for Bitcoin in DeFi
With a distinct Risk Management Network that independently keeps an eye out for questionable activities, CCIP, the industry standard for cross-chain token and data transmission, attains the highest level of cross-chain security. Secure LBTC transfers between the Arbitrum, Base, and Solana mainnets will be made possible by Lombard using CCIP.
By instantly confirming its collateralization on-chain, PoR will increase LBTC’s transparency, and Price Feeds will acquire extremely precise, bulletproof market data that encourages LBTC’s integration as a new core primitive in DeFi.
“Our partnership with Lombard signifies a shared vision for the future of BTCFi,” said Johann Eid, Chief Business Officer at Chainlink Labs. “This partnership will serve as the foundation for BTCFi’s future, setting a new standard for decentralized finance.”
“Chainlink’s decision to partner with Lombard speaks to our shared commitment to building institutional-grade infrastructure for Bitcoin’s integration into decentralized finance,” added Lombard co-founder Jacob Phillips.
LINK Price Climbs 4%
Chainlink reacted positively to the news. The price of Chainlink is trading at $11.51 and is up by 3.71% in the last 24 hours. The global market cap stands at $7.22 billion. The 24-hour trading volume is up by 46.03%. The coin is, however, down by 5.12% in the last 7 days.
