Chainlink and Apex Group said they completed a pilot project with Bermuda’s financial regulator, the Bermuda Monetary Authority, to test how blockchain infrastructure can help enforce stablecoin rules directly on-chain.
Unveiled during Chainlink’s SmartCon, the testnet pilot, conducted through the authority’s Innovation Center, brings together a group of blockchain tools designed to provide regulators with ongoing visibility into the support and circulation of a stablecoin.
The system uses Chainlink Proof of Reserve to publish reserve data on-chain and Secure Mint to restrict the issuance of tokens beyond what is backed.
Custody and reserve data was provided by Apex Group, which manages $3.5 trillion in assets, according to a press release shared with CoinDesk. Chainlink’s Automated Compliance Engine (ACE) incorporated Bermuda-specific policy requirements into the operation of the stablecoin, while its Cross-Chain Token standard supported movement across blockchains.
Hacken, a blockchain security and compliance company, added real-time monitoring of compliance risks, including flagged wallet activity or unexpected on-chain behaviors.
The system also links verified issuers to minting wallets through Bluprynt’s identity layer, helping to link token issuance to real-world entities. Bluprynt is a compliance infrastructure developer.
The pilot simulated how monitoring could work if compliance checks were applied automatically up the chain rather than through post-facto reporting.
The project comes alongside Chainlink’s broader push to support institutional adoption of tokenized assets. Its Chainlink Runtime Environment (CRE), announced yesterday, is already used by banks like JPMorgan and UBS to build cross-chain applications.
