Bloomberg and Kaiko Announce Data Integration for Blockchain Markets - Crypto Economy

TL;DR

• Bloomberg just made a move that changes everything for tokenized assets
• The data problem in crypto markets finally has a solution from Bloomberg
• Banks can now access Bloomberg data directly on blockchain networks

Bloomberg is moving its licensed financial data onto blockchain networks through a collaboration with Kaiko, a Paris-based company that supplies digital asset market data. The firms announced the initiative on Thursday. The goal is to make pricing information, security identifiers and reference data available inside blockchain environments instead of through traditional databases located off the network.

The companies said the effort addresses a problem that has appeared in tokenized markets. Different participants in those markets often rely on different versions of the same data. One bank might use one price for a Treasury bond while another bank uses a different price for the same instrument.

By putting a common data source directly on the blockchain, the collaboration aims to ensure that all market participants look at the same dataset. That approach could reduce the need for reconciliation between firms and improve the overall integrity of the information used in transactions.

Source: RWA.xyz The first application of the service focuses on tokenized US Treasury bonds and repo markets that operate on the Canton Network. Canton is a permissioned blockchain network built specifically for institutional financial use. Kaiko launched its data on-ramp service for that network in August.

The target users for the integration are banks, asset managers and other regulated financial institutions. These firms have been experimenting with blockchain versions of traditional financial instruments. The service is not aimed at retail crypto traders.

Questions about data reliability in tokenized real-world assets have come up before

In May, Crypto media spoke with Chris Yin, a co-founder of the RWA platform Plume. Yin said at the time that the actual size of the tokenized asset market might be much smaller than the numbers cited by some industry data aggregators. He estimated the real figure was closer to half of what major data sources were reporting.

Kaiko chief executive Ambre Soubiran said institutional-grade data is necessary for markets to function properly. The collaboration with Bloomberg, she said, extends the availability of market data used in traditional markets to support the next generation of tokenized securities infrastructure.

Kaiko expanded its presence in the digital asset data sector last year when it acquired Vinter, a European provider of crypto index services. That purchase strengthened the company’s position in regulated benchmarks and index services across Europe.

Reliable data has been a priority in the digital asset industry for a long time. In tokenized markets, consistent data serves a specific function. Many tokenized assets represent real-world assets like Treasury bonds. If the pricing data