Poundtoken Is Integrating Chainlink Proof of Reserve (PoR) to Help Secure GBPT Minting and Enhance Collateral Transparency

Poundtoken is pleased to announce that we are integrating Chainlink Proof of Reserve (PoR) to enable the real time visibility of the reserves of GBPT, our fully backed GBP stablecoin regulated in the British Isles. In addition, Chainlink PoR will be used to help secure the minting function of GBPT.

Through an automated workflow, the industry-leading decentralized oracle network helps assure that the circulating supply of GBPT does not increase beyond the amount of off-chain fiat reserves held via safeguarded accounts at a custodian.

Chainlink PoR helps bring real-time reserve data on-chain through direct API connection to Poundtoken’s custodian. The bank reserve data which is retrieved, stored, and displayed on-chain periodically, or triggered when GBPT is issued or redeemed, enables us to transparently show holders of GBPT that the tokens in circulation are 100% backed by GBP held in reserve. Chainlink’s technology ensures the timeliness, integrity and visibility of the data.

Poundtoken is a British Isles-regulated and fully backed GBP stablecoin. Designed for stability, GBPT is 100% backed by GBP held in GBP-denominated bank accounts so that it’s always redeemable 1:1 for pounds sterling. Poundtoken enables businesses to send and receive near-instant international payments; institutions to make markets and simplify international remittance; and individuals to transfer money, make cross-border payments, and participate in decentralized finance and Web3.

Poundtoken sought a decentralized, automated verification solution to consistently help assure that the circulating supply of GBPT reflects the British pounds held in reserves. Chainlink, which powers the PoR data feed, is the most time-tested and historically reliable oracle network in the blockchain industry, helping to secure tens of billions of dollars for top DeFi projects.

With this integration of Chainlink’s decentralized infrastructure, GBPT users can feel confident that they have an accurate, highly available, and transparent source of information regarding the reserves backing the stablecoin. The end result is GBPT becoming a more reliable form of collateral and payment across CeFi, DeFi, and other Web3 verticals.

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We chose to integrate Chainlink Proof of Reserve because it offers several critical features:

  • Automated On-Chain Verification — By keeping an up-to-date reference contract, smart contracts can get automated, on-chain verification of an asset’s collateralization, removing the need to conduct manual audits.
  • High-Quality Data — Through the use of customizable External Adapters, Chainlink can source data from premium data providers who are financially incentivized to provide highly accurate and available data.
  • Decentralized — Chainlink Proof of Reserve Feeds are decentralized at the data source and oracle node level, eliminating central points of failure in the sourcing and delivery of external data to GBPT.
  • Transparent — Chainlink Proof of Reserve Feeds can be monitored by anyone in real time, allowing any user to independently verify asset collateralization.

“We’re pleased to be using Chainlink Proof of Reserve to help enhance the trustworthiness of GBPT. As the industry-standard decentralized oracle network, Chainlink helps ensure that GBPT is always fully collateralized by off-chain fiat reserves, helping enhance the transparency and verifiability of our regulated stablecoin.” — Alan Sun, CEO, poundtoken.io

About Chainlink

Chainlink is the industry standard for building, accessing, and selling oracle services needed to power hybrid smart contracts on any blockchain. Chainlink oracle networks provide smart contracts with a way to reliably connect to any external API and leverage secure off-chain computations for enabling feature-rich applications. Chainlink currently secures tens of billions of dollars across DeFi, insurance, gaming, and other major industries, and offers global enterprises and leading data providers a universal gateway to all blockchains.

Learn more about Chainlink by visiting chain.link or reading the developer documentation at docs.chain.link. To discuss an integration, reach out to an expert.

Published On: October 5th, 2022 / Categories: press /

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