The ARK Bitcoin ETF (ARKB), managed by 21Shares and Ark Investment, is getting a major upgrade thanks to a partnership with Chainlink, a decentralized oracle network.
Chainlink’s Proof of Reserve: A Game Changer for ARKB
Chainlink’s Proof of Reserve (PoR) solution is being integrated into ARKB to ensure transparency and security for investors. This means that the Bitcoin reserves backing the ETF will be constantly verified and updated on the blockchain.
Chainlink’s PoR works by directly accessing data from Coinbase, a major cryptocurrency exchange. This data is then used to automatically update the on-chain reference contract, providing a real-time view of ARKB’s Bitcoin holdings.
Benefits for Investors
This integration brings several benefits for ARKB investors:
- Frequent Updates: Investors will have access to regular updates on the collateralization of the underlying Bitcoin holdings, eliminating the need for manual verification.
- Enhanced Security: Chainlink’s decentralized network ensures the reliability and resilience of the PoR data, making the system more secure.
- Independent Verification: Investors can independently verify the asset collateralization of ARKB, increasing transparency and trust.
Setting a New Standard for Transparency
The integration of Chainlink’s PoR is a significant step towards greater transparency and security in the world of tokenized assets. This partnership sets a new standard for digital asset management, offering investors an unmatched level of insight and safety.
“By integrating Chainlink, the industry leader in Proof of Reserves for tokenized assets, we’re setting a new standard for combining transparency and security in digital asset management,” said Ophelia Snyder, co-founder and president of 21 Shares US. “This collaboration allows us to offer an unmatched level of insight and safety for our investors’ holdings for ARKB, reinforcing 21Shares’ commitment to leading the way in secure, transparent asset management.”
