Chainlink, a leading blockchain infrastructure provider, has entered a strategic partnership with Abu Dhabi Global Market (ADGM), the UAE capital’s international financial hub. Announced on March 24, 2025, this collaboration aims to advance blockchain regulation, tokenization, and decentralized finance (DeFi) within a compliant framework. The move underscores Abu Dhabi’s bid to become a global leader in digital asset innovation, leveraging Chainlink’s robust technology to bridge real-world data with smart contracts.
The partnership, formalized through a Memorandum of Understanding (MoU), taps Chainlink’s expertise in facilitating over $19 trillion in transaction value worldwide. ADGM, which oversees financial services and digital assets across Al Maryah and Al Reem Islands, will integrate Chainlink’s tools—data feeds, interoperability services, and proof-of-reserves mechanisms—to enhance its blockchain ecosystem. “This alliance will shape global regulatory approaches and promote trust,” said Hamad Sayah Al Mazrouei, CEO of ADGM’s Registration Authority, in a statement to CoinDesk.
A key focus is tokenization—converting assets like real estate or stocks into blockchain-based digital tokens. ADGM and Chainlink plan to host workshops on this, alongside cross-chain interoperability and emerging standards. These efforts aim to boost liquidity, cut trading costs, and open investment to broader audiences, aligning with the UAE’s $389.8 billion crypto market surge from 2023-2024, per Bankless Times. Chainlink’s tech, already used by financial giants like DTCC and SWIFT, will support ADGM-registered firms in building secure, scalable applications.
This isn’t Chainlink’s first step in the region. In December 2024, Chainlink Labs set up an office in ADGM, signaling intent to expand in the Middle East and North Africa (MENA), where demand for tokenized assets is spiking, per ADGM’s press release. Angie Walker, Chainlink Labs’ Global Head of Banking and Capital Markets, noted to Economy Middle East, “ADGM offers a robust environment where tokenization can thrive, driving innovation across the UAE.” The partnership builds on this foothold, positioning Abu Dhabi as a blockchain pacesetter.
The UAE’s regulatory clarity fuels this momentum. ADGM’s Distributed Ledger Technology (DLT) Foundations Regulations, launched in 2023, were the world’s first tailored blockchain framework. This contrasts with U.S. delays—where stablecoin laws linger—and Europe’s MiCA rollout, which disrupted firms like Tether in 2024. Chainlink’s LINK token jumped 5.74% to $15 post-announcement, with trading volume up 79.46% to $399 million, reflecting market optimism.
Beyond tokenization, the MoU covers AI-blockchain integration, aiming to safeguard financial systems while accelerating adoption. Workshops will educate UAE stakeholders, from regulators to businesses, on reducing risks via Chainlink’s Cross-Chain Interoperability Protocol (CCIP)—already live on networks like Ronin, per Chainlink’s blog. This could set a template for MENA and beyond, especially as Polygon Labs and others join ADGM’s orbit.
Challenges remain. Regulatory lag in other regions could fragment global standards, and blockchain’s complexity may deter traditional firms. Yet, with Chainlink’s track record—securing DeFi, insurance, and gaming—and ADGM’s ambition, this partnership could redefine digital finance. Will it cement Abu Dhabi as the “Capital of Capital” in blockchain, or test the limits of regulated innovation?
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