The goal of the collaboration is to improve the security of the crypto industry, which will ultimately better protect users and their assets

Spanish company Telefónica has entered into a partnership with Chainlink

15.02.2024 - 12:45

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2 min

What’s new? Spain’s largest telecommunications company Telefónica has announced a strategic partnership with the Chainlink (LINK) decentralized oracle network developer. As part of the collaboration, the platforms will provide integration between Chainlink oracles and the SIM SWAP API from GSMA Open Gateway (a mobile network providing programmable interfaces for developers) to enhance the security of the Web 3.0 ecosystem. Telefónica is a member of the GSMA.

Telefónica’s press release

What else is known? The SIM SWAP API checks when the SIM card associated with a cell phone number was last changed, which is used to prevent individual and bank account fraud. With Chainlink Functions, a Web 3.0 developer platform for Web 3.0 developers to pull data from real APIs, the SIM SWAP API will allow information to be verified from a variety of sources.

The integration of Chainlink’s platform and SIM SWAP APIs will provide an “extra layer of security” for transactions on the blockchain by allowing smart contracts to make information requests to APIs. This will help ensure there are no unauthorized changes to the SIM, Telefónica said in a release.

“Bringing Telefonica’s OpenGateway APIs onchain with Chainlink Functions unlocks novel use cases and greater security for our industry that ultimately better protect users and their assets,” Chainlink Labs’ Chief Business Officer Johann Eid said.

Telefónica, which owns telecommunications networks in Europe and Latin America, has a market capitalization of 20б38 billion EUR.

In July 2023, Chainlink Labs launched the Cross-Chain Interoperability Protocol (CCIP). It allows financial institutions to transfer assets and data between the public and their own private blockchains and aims to address liquidity fragmentation.

Australia and New Zealand Banking Group (ANZ), BNP Paribas, BNY Mellon, Citi, Clearstream, Euroclear, Lloyds Banking Group, SIX Digital Exchange (SDX)б and The Depository Trust and Clearing Corporation (DTCC) have already started using the protocol.

In November, Yucheng Technology, part of Hong Kong’s largest conglomerate Chow Tai Fook, began working with the Chainlink team to launch tokenized funds.

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