How Chainlink Is Driving Web3 and Institutional Finance in 2025: Sergey Nazarov

• Chainlink’s ecosystem is driving the next wave of institutional adoption in DeFi and tokenized assets.
• Stablecoins and regulatory clarity are creating markets for on-chain real-world assets.
• Unlocking institutional liquidity worth hundreds of trillions of dollars is now the industry’s central focus.

Chainlink co-founder Sergey Nazarov outlined a transformative vision for Web3 and financial markets, emphasizing how blockchain is reshaping institutional adoption.

Speaking at the latest SmartCon, Nazarov highlighted that the rise of tokenized assets, stablecoins, and secure oracle networks is pushing traditional finance toward on-chain solutions.

The conference demonstrated the convergence of DeFi and TradFi, attracting institutions like UBS, the Central Bank of Brazil, and Hong Kong’s central bank to explore tokenized funds, CBDCs, and electronic bills of lading.

According to Nazarov, the complexity of traditional finance, ranging from derivatives to fund administration, has historically limited blockchain adoption.

Specialized terminology and processes created a barrier for crypto-native developers, while DeFi users often lacked the expertise to navigate real-world asset tokenization.

Chainlink’s infrastructure, particularly its CRE, bridges this gap by integrating real-world contracts with smart contracts, enabling secure, verifiable, and efficient execution across markets.

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Stablecoins and Legislation Fuel Market Growth

Recent regulatory reform, such as the Genius Act in the United States or the upcoming Clarity Act, illustrates that these, along with blockchain, can be made practical for institutions.

Nazarov added that these laws have driven the speed of the market for stablecoins and tokenized deposits, creating a foundation for the adoption of tokenized assets.

The size of the market is massive, and where the buying power of stablecoins was measured in the hundreds of billions, it is now measured in the hundreds of billions, potentially moving into the trillion range.

This is what is driving the need for assets to be tokenized. It is also what is attracting institutions to the space because they understand that the trading on these networks is open 24/7.

Chainlink Bridges Traditional Finance and On-Chain Assets

The retail market liquidity is up from $3 to 4 trillion to possibly $10 trillion, but according to Nazarov, the opportunity is actually in institutional liquidity.

There are pension funds, SWFs, family offices, and ultra-high net worth individuals who manage tens of trillions of dollars. The trick is to get them to interact with assets that are tokenized.

Chainlink is addressing this issue by connecting conventional trading networks, custody mechanisms, and message channels to assets on-chain.

Collaborations between Chainlink, J.P. Morgan, and BlackRock illustrate that conventional banking institutions can bring assets on-chain along with existing tools from the finance world, without relying on development from the Web3 space.

Also Read: Chainlink (LINK) Approaches Key Technical Zone, Could Lead Crypto Gains in 2026