- Chainlink Proof of Reserve offers real-time verification of the HKD’s asset backing, ensuring transparency.
- RD Technologies anticipates HKD stablecoin adoption will boost cross-border commerce and asset tokenization.
RD Technologies, a financial technology company based in Hong Kong, is teaming up with Chainlink Labs to use Chainlink’s services for its new HKD stablecoin (HKDR).
The HKDR, backed by the Hong Kong dollar, is aimed at cross-border B2B transactions, trading in virtual assets, and settling tokenized assets. This stablecoin will be a trusted and transparent option for international financial operations.
💯🎉We are excited to announce that our Hong Kong Dollar Stablecoin, HKDR is planning to integrate with @chainlink , to help facilitate the adoption of HKDR in cross-border payments, RWA tokenisation, and other onchain finance applications!!🤜🤛https://t.co/r0FyxfnfHB https://t.co/ims58nFa0o
— RD Technologies (@RD_Technologies) May 7, 2024
Chainlink, has facilitated over $10.5 trillion in transactions and provides crucial services for developing and securing digital assets. RD Technologies plans to implement several Chainlink features to enhance the reliability and security of HKDR.
One of the key services being integrated is Chainlink’s Cross-Chain Interoperability Protocol (CCIP). This protocol ensures secure and effective cross-chain digital asset transfers and monitors cross-chain functions through its Risk Management Network. The network oversees and prevents errors in cross-chain activities, guaranteeing maximum security.
RD Technologies is also considering Chainlink’s Proof of Reserve (PoR) system, which relies on Chainlink oracles for real-time verification that onchain assets are backed by real-world reserves, these reserves are kept separate in custody accounts with licensed financial institutions.
This step is crucial for maintaining stablecoins like HKDR, ensuring that they are always supported by sufficient collateral. The PoR system inspires confidence by clearly showing that the onchain assets are consistently backed and will trigger safeguards if the collateral value drops below a certain level.
Rita Liu, CEO of RD Technologies, stressed the importance of this partnership for advancing web3 technology adoption in Hong Kong. She pointed out that Chainlink Labs’ security aligns with RD Technologies’ mission to develop a transparent stablecoin for global business use.
Liu is confident that the integration with Chainlink Labs will not only bolster HKDR’s cross-border payment capabilities and real-world asset tokenization but also help position Hong Kong as a global hub for Web 3.0 and virtual assets.
.@RD_Technologies is integrating #Chainlink CCIP and Proof of Reserve to power HKDR, a stablecoin backed 1:1 by the Hong Kong dollar.
Explore how this strategic collaboration unlocks secure cross-chain and cross-border payments of HKDR ⬇️
— Chainlink (@chainlink) May 7, 2024
The partnership will be showcased at Chainlink’s annual SmartCon event in Hong Kong this October, underlining its strategic role in financial technology and digital asset management.
The current price of Chainlink LINK is around $13.99 as of the latest data, trading between $13.90 and $14.18 in its daily range. Over the past 52 weeks, it’s ranged between $4.98 and $22.83.
