Digital-asset manager Grayscale has released a new research report positioning Chainlink (LINK) as a foundational element in the emerging tokenisation trend describing the token as "the critical connective tissue" between traditional finance and on-chain infrastructure.
In the report titled “The LINK Between Worlds,” Grayscale analysts argue that tokenised assets which currently make up approximately US $35 billion in value are still a tiny fraction of global securities markets, and that the infrastructure enabling massive growth in this sector is still being built. They identify Chainlink’s suite of services data feeds, cross-chain interoperability, compliance-middleware as key pillars enabling banks, asset managers and other institutions to interact with tokenised instruments.
Grayscale highlights that LINK is not only an oracle token but also serves in roles such as proof-of-reserve, cross-chain messaging (via CCIP), and enterprise compliance. The report states: “Chainlink is the critical connective tissue between crypto and traditional finance… It can already be considered essential infrastructure in blockchain-based finance.”
Why This Matters for Tokenisation and LINK
Tokenisation refers to the process of converting off-chain assets such as real estate, equities, bonds or commodities into blockchain-based tokens. While the current tokenised-asset market remains small (around US $35 billion), the potentially addressable global market spans trillions. Grayscale’s report argues that growth in tokenisation creates increased demand for infrastructure like Chainlink, which bridges off-chain and on-chain worlds.
Because LINK infrastructure spans multiple chains and supports services required for institutional grade tokenisation (compliance tooling, data-feeds, settlement messaging), the token is positioned to benefit broadly from growth in tokenised finance, not just the success of one blockchain. Grayscale classifies LINK as the largest non-Layer-1 crypto asset in its “Utilities & Services” sector and emphasises its cross-chain reach.
In practical terms, as more institutions pilot or deploy tokenised securities or real-world-asset (RWA) strategies, the logic goes that demand for secure, auditable, cross-chain infrastructure will increase placing Chainlink at the centre of that wave.
Implications for the Crypto Market and Investors
For investors, Grayscale’s analysis elevates LINK from being viewed as “just an oracle coin” to a token with broader infrastructure significance. That can affect how portfolios are constructed, potentially shifting more attention to infrastructure tokens as the tokenisation trend matures.
From a market perspective, the report may catalyse increased institutional interest in both tokenisation strategies and the infrastructure enabling them. If tokenised assets grow significantly, protocols that facilitate compliance, interoperability and secure data transfer (like Chainlink) stand to benefit.
However, the report also contains caveats: tokenisation is still a nascent market, regulatory hurdles remain significant, and competition exists. Grayscale itself notes that while the opportunity is large, adoption is uneven and the infrastructure build-out will take time.
FAQs
Q1: What does Grayscale mean by “tokenisation boom”?
A1: Tokenisation refers to converting real-world assets (like property, bonds or commodities) into blockchain-based tokens. Grayscale believes this market will grow significantly from its current size.
Q2: Why does Grayscale single out Chainlink (LINK)?
A2: Because Chainlink provides multiple infrastructure services data feeds, cross-chain messaging, compliance tooling that are needed for tokenised assets to scale in institutional contexts.
Q3: Does this mean LINK will automatically go up in price?
A3: Not necessarily. While the infrastructure thesis is positive, market performance depends on adoption, regulation and competition. Grayscale’s report is not a guarantee of price appreciation.
Q4: Are there risks to this tokenisation-infrastructure thesis?
A4: Yes regulatory uncertainty, competing protocols, slower-than-expected adoption of tokenisation and technical risks all remain potential headwinds.
Q5: How large is the current tokenised-asset market?
A5: Grayscale estimates the market at around US $35 billion today (excluding stablecoins), which is only a tiny fraction of total global securities markets.
Q6: What should investors look if they believe in this thesis?
A6: Investors can monitor metrics such as protocol usage, partnerships with asset managers, tokenisation filings, and how infrastructure tokens like LINK perform relative to broader crypto markets.