Why the SEC’s new proposal matters
The SEC just proposed updating the rules for transfer agents to account for blockchain and digital securities.
A transfer agent basically keeps track of who owns what. As stocks, bonds and funds move onto blockchains, we need a way to keep track of ownership digitally. Which is what a Digital Transfer Agent (DTA) is for.
Why is this important?Chainlink has already built a technical standard for how DTAs can work.
Chainlink can connect:
Banks → Chainlink → Blockchains
It can handle things like:
Who is allowed to own an asset What the asset is worth Issuing and redeeming tokens Moving assets between blockchains Connecting traditional finance to blockchainsTokenization isn’t just putting an asset on a blockchain. You need the infrastructure behind it to make everything work together.
Most of you don’t realize it yet, but the blockchain itself is becoming the interchangeable part of the stack. The important layer is the infrastructure connecting data, compliance, identity, financial institutions and different blockchains. This is what Chainlink is building and why Chainlink is the most important crypto project in the industry.
https://chain.link/blog/onchain-golden-record
https://chain.link/digital-transfer-agent-technical-standard
UBS has already leveraged Chainlinks DTA.
A first use case involved a technical and operational pilot with UBS Tokenize, the in-house tokenization unit of UBS. Subscriptions and redemptions for a tokenized fund smart contract from UBS were triggered using ISO 20022 messages through CRE and Swift infrastructure. CRE received the Swift messages, which then triggered subscription and redemption workflows in the Chainlink Digital Transfer Agent (DTA) technical standard.
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