The pilot was organized by Hong Kong’s central bank to test automated compliance and atomic payments.
American asset manager Fidelity has collaborated with three global financial giants on a cross-border settlement pilot program in Hong Kong. The pilot used Chainlink infrastructure for secure digital asset movement, atomic settlement and automated compliance.
According to the announcement, the pilot brought together payments giant Visa, New Zealand’s largest lender ANZ Bank and the Hong Kong arm of ChinaAMC, one of the region’s largest asset management companies. It was conducted under the second phase of Hong Kong’s CBDC program to assess how tokenized money can improve cross-border transactions.
The overall program, spearheaded by the Hong Kong Monetary Authority, tested a system where users rely on digital money such as stablecoins and tokenized bank deposits to purchase tokenized investment funds on permissioned networks and public blockchains with near-instant settlement.
HKMA settled on the oracle network to connect the chains and enable interoperability. One of the pathways was between DASChain, a permissioned blockchain developed by ANZ Bank for tokenized finance, and Sepolia, an Ethereum testnet used by developers to test smart contracts and dApps without using real Ether. On why it selected Chainlink, HKMA stated:
This choice aligns with the need for secure, compliant interoperability in tokenized asset ecosystems.
Chainlink says its infrastructure provided the participants with automated compliance and verified identities, which are vital in regulated financial use cases. It also offered atomic transactions, where settlement is completed for both sides of a trade, or not at all. This eliminates settlement risk where one party can deliver as required while the other fails.
Chainlink stated:
In the cutting-edge solution, the Chainlink data, interoperability, and compliance standards are used to solve the biggest problems facing institutional smart contracts.
These problems include automation. The network’s digital transfer agent standard automated the issuance of tokenized fund units while fetching on-chain NAV data. This enabled real-time settlement.
Chainlink’s CCIP enabled secure messaging between ANZ’s DASChain and Ethereum’s Sepolia and the transfer of the CBDC across jurisdictions.
“Chainlink is the only platform that solves all of these institutional requirements within a single infrastructure, powering end-to-end, regulated cross-border settlement and accelerating the global financial system’s move onchain,” the network says.
Emma Pecenicic, the head of partnerships in APAC for Fidelity, commented:
We see strong potential for fund tokenization to bridge the gap between traditional financial systems and the emerging digital asset economy. This advancement not only opens new distribution channels but also improves operational efficiency and supports cross-border investment opportunities.
Earlier this week, Chainlink expanded its presence in MENA after UAE’s ADI Chain adopted CCIP for its tokenization program, as CNF reported.
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