Chainlink has introduced technologies ensuring data privacy for financial institutions using blockchain solutions.

New Privacy Technologies from Chainlink

On October 22, Chainlink introduced two new privacy-focused capabilities for financial institutions. These features enable private blockchain integration with the public Chainlink Platform and utilize the CCIP Private Transactions protocol to encrypt data.

ANZ Bank's Role in the Project

ANZ Bank will be one of the first institutions to pilot Chainlink's new privacy capabilities for the settlement of tokenized real-world assets under Singapore’s Monetary Authority’s Project Guardian. This will allow the bank to integrate both private and public blockchains through the public Chainlink network.

Why Institutions Need Private Blockchain Transactions

According to Chainlink, the lack of secure cross-chain privacy has been a hindrance for financial institutions aiming to meet data protection requirements such as GDPR. The new solutions will ensure end-to-end privacy for private chain-to-private chain transactions and limit data exposure for private chain-to-public chain interactions.

Chainlink’s new features provide institutional users with the ability to expand blockchain application while maintaining their regulatory and legal compliance.