Chainlink Launches Framework for ATM Transactions

Oracle provider Chainlink has introduced the “Chainlink Runtime Environment” — a standardized framework designed to connect traditional financial systems, payment infrastructures, and legacy institutions with blockchain protocols and smart contracts in one cohesive ecosystem.

Chainlink explained that this new unified environment will incorporate the runtime framework established by the Common Business-Oriented Language (COBOL) standard, a programming language from 1959 that enabled electronic banking and ATMs.

Additionally, the Chainlink Runtime Environment will replace the Java Runtime Environment (JRE) architecture, developed in the 1990s, which facilitated online banking and became a dominant force in digital banking applications.

On Nov. 16, the oracle provider stated that the main purpose of this unified architecture is to simplify the process of navigating thousands of different financial systems, delivering a more seamless and efficient experience for users.

Chainlink’s initiative aligns with other efforts aimed at integrating traditional financial entities into blockchain technology.

At the SWIFT International Banking Operations Seminar (SIBOS) in October 2024, Chainlink disclosed a partnership with the SWIFT interbank messaging protocol.

This collaboration will enable conventional financial institutions to use SWIFT messages to engage with blockchain platforms.

Chainlink has also launched several privacy-focused tools for businesses and institutions, such as the Blockchain Privacy Manager and the Chainlink Cross-Chain Interoperability Protocol (CCIP) Private Transactions feature.

Privacy remains a vital yet often neglected aspect of enterprise-grade blockchain solutions, as organizations are wary of conducting transactions on transparent public networks that could expose confidential data or trade secrets.

Chainlink is also exploring ways to integrate oracles with artificial intelligence to bring important corporate data onchain, ensuring a secure, real-time, and tamper-proof record of corporate activities like proof-of-reserves.

In November 2024, Chainlink announced the completion of a pilot program with SWIFT and Swiss banking giant UBS.

This pilot tested tokenized fund settlements and allowed legacy financial systems to engage with the digital economy while bypassing the use of cryptocurrencies.

Sources:

https://cointelegraph.com/news/chainlink-introduces-chainlink-runtime-environment-framework

https://blog.chain.link/monumental-upgrade-for-onchain-finance/