Blockchain oracle Chainlink has taken an important step toward regulatory compliance around asset tokenization, thanks to the introduction of new technologies. The company introduced the **CCIP Private Transactions Protocol** and the **Blockchain Privacy Manager** launched, tools that were desperately needed for institutions in traditional finance to comply with regulations.

The new protocol helps financial institutions ensure the privacy of blockchain transactions by encrypting data such as the number of tokens traded and the parties involved. This keeps on-chain data protected from third parties. In addition, private blockchains can now be connected to both public and other private blockchains through the CCIP network.

The **Australia and New Zealand Banking Group (ANZ)** will test these privacy features in a pilot project for processing tokenized real assets (**Real World Assets**). Sergey Nazarov, co-founder of Chainlink, stressed the importance of privacy: "Privacy is a critical requirement for most institutional transactions. So far, the blockchain industry has not provided the level of privacy needed for these transactions."

Nazarov predicts that now that private transactions are possible through blockchains, there will be a significant increase in institutional acceptance of blockchains, CCIP and the Chainlink standard in general. Chainlink is considered one of the biggest beneficiaries of the trend toward the tokenization of real assets, a market that is predicted to reach about $16 trillion by 2030.

Real World Assets refer to tokenized versions of physical assets such as artwork or real estate, which become tradable on the blockchain. The price of Chainlinks token LINK benefited from the news, rising about 3.4 percent, while other crypto currencies such as BTC and ETH posted losses.