- 21Shares announces a significant partnership with altcoin project Chainlink.
- The company integrates Chainlink Proof of Reserve into the Ethereum mainnet to enhance transparency.
- Chainlink was chosen for its proven track record in delivering over $12 trillion in total on-chain market value.
Learn how 21Shares is utilizing Chainlink’s Proof of Reserve to bolster investor confidence in their Core Ethereum ETF.
21Shares Integrates Chainlink Proof of Reserve on Ethereum Mainnet
21Shares US LLC, a subsidiary of 21Shares AG, has taken a significant step in enhancing the transparency of its Core Ethereum ETF (ticker: CETH) by integrating Chainlink Proof of Reserve on the Ethereum mainnet. The ETF, which is physically backed by Ethereum, aims to provide investors with clear visibility into the underlying ETH reserves. This initiative follows 21Shares’ strategy to bolster transparency and investor confidence in its digital asset products.
The Importance of Chainlink in Reserve Verification
Chainlink’s Proof of Reserve solution was selected due to its established reputation for integrity and its ability to provide real-time, secure data feeds directly from Coinbase. This integration not only ensures the transparency of the ETH reserves but also maintains the integrity of the assets, thereby building investor trust. Chainlink’s off-chain reserve feed publicly discloses both the current reserve data and historical data, thereby promoting a high level of transparency and security in asset reporting.
Enhanced Transparency and Investor Confidence
In February, 21Shares began utilizing Chainlink Proof of Reserve for their ARK 21Shares Bitcoin ETF, thereby increasing transparency around their Bitcoin reserves. The ARK 21Shares Bitcoin ETF, which launched in January, currently manages $3.2 billion in assets. The integration was met with enthusiasm by both 21Shares and Chainlink, with Johann Eid, Chainlink Labs’ Chief Business Officer, emphasizing the importance of this partnership in setting industry standards for transparency and trust.
21Shares Leadership on the Partnership
Ophelia Snyder, Co-founder and President of 21Shares, commented on the strategic importance of this partnership, stating that the approval of a spot Ethereum ETF in the US validates the global momentum and adoption of cryptocurrency. The collaboration with Chainlink supports 21Shares’ mission to bridge the gap between traditional finance and decentralized finance, making use of Chainlink’s industry-standard verification services to enhance the transparency of its ETFs.
Conclusion
21Shares’ integration of Chainlink Proof of Reserve into its Core Ethereum ETF marks a significant milestone in the realm of digital asset investment. This collaboration not only enhances the transparency of the ETH reserves backing CETH but also aligns with 21Shares’ ongoing efforts to uphold high standards of trust and integrity in the industry. By leveraging Chainlink’s trusted technology, 21Shares is paving the way for more secure and transparent digital asset investments, setting a benchmark for others in the sector to follow.
