Major cryptocurrency exchange Kraken has decided to cut ties with its legacy cross-chain provider and migrate exclusively to Chainlink's Cross-Chain Interoperability Protocol (CCIP).
By doing this, the exchange aims to secure Kraken Wrapped Bitcoin (kBTC) and all of its future assets.
Enterprise-grade security
According to the exchange, the decision to choose Chainlink CCIP was driven by the protocol's enterprise-grade infrastructure and stringent risk management capabilities.
Kraken selected Chainlink CCIP due to its alignment with strict security and risk management protocols.
The system utilizes infrastructure that meets ISO 27001 and SOC 2 Type 2 certifications.
The protocol is powered by 16 independent nodes, ensuring that no single point of failure compromises the cross-chain transfers.
The architecture is "secure by default" and includes native rate limits.
Unlocking DeFi utility
Chainlink confirmed the partnership, noting that CCIP will enable the secure distribution of Kraken's wrapped assets across various blockchains and global markets, starting with kBTC.
Kraken stated that by working together, the two entities can help accelerate global crypto adoption by unlocking expanded utility and distribution for wrapped assets across the Decentralized Finance (DeFi) ecosystem.
The exchange assured current kBTC customers that no immediate action is required on their part.
Further details regarding the migration process will be announced on official Kraken channels.
In the meantime, LINK has reached a significant network milestone as unique address activity surged to an eight-month high, with over 282,000 active addresses recorded by Santiment.
LINK is 4.7% over the past 24 hours, according to CoinGecko data.
Dan Burgin
U.Today Editorial Team
