S&P Global Joins Forces With Chainlink to Revolutionize Stablecoin Risk Assessment On-Chain

Breaking: Traditional finance giant meets blockchain oracle in landmark partnership that could reshape crypto risk management.

The New Standard for Stablecoin Security

S&P Global's trusted risk assessment framework migrates to blockchain infrastructure through Chainlink's decentralized oracle network. This collaboration bridges the gap between conventional financial ratings and decentralized finance protocols.

Real-time risk metrics now flow directly to smart contracts, creating unprecedented transparency for stablecoin issuers and users alike. No more waiting for quarterly reports or delayed assessments—the data lives where the assets trade.

Finally, someone brought adult supervision to the wild west of stablecoins—though whether Wall Street's risk models can handle crypto's volatility remains to be seen.

S&P Global is steadily growing its presence in the DeFi and blockchain space.

The company is exploring newer ways to bring its trusted financial insights to this space, creating a bridge between traditional finance and decentralized markets.

S&P Global Brings Stablecoin Risk Ratings On-Chain

In a latest press release, S&P Global revealed a new partnership between S&P Global Ratings, the world’s leading provider of credit ratings, benchmarks and analytics, and Chainlink, the industry-standard oracle platform bringing the capital markets on-chain.

Through this collaboration, S&P Global Ratings’ Stablecoin Stability Assessments (SSAs) , which evaluate the reliability and risk of different stablecoins, will now be made available on-chain using DataLink, an institutional-grade data delivery service, powered by the chainlink data standard.

This means that for the first time, DeFi protocols and smart contracts will have direct access to S&P’s independent, in-depth stablecoin risk data.

On-Chain SSAs To Launch on Base

The on-chain SSA’s give real time insights into how stable different stablecoins are. Rated on a scale from 1 to 5, these assessments show how well each coin holds its value against fiat currencies. The on-chain SSAs will first be available on Base, Coinbase’s ethereum Layer 2 network, with plans to expand to other blockchains based on demand and feedback from users.

Notably, DataLink lets S&P Global Ratings securely share data on blockchains without building or managing any new infrastructure.

S&P Global Ratings currently evaluates 10 major stablecoins, including USDT, USDC, and Sky Protocol’s USDS/DAI, using its SSA framework. The assessments look at key factors like asset quality, governance, regulatory compliance, redeemability, liquidity, and overall track record, giving a clear picture of each coin’s stability and reliability.

Backing Secure Stablecoin Adoption

Chuck Mounts, Chief DeFi Officer at S&P Global highlighted that the launch shows its commitment to serving clients in the growing digital space. This MOVE helps make the DeFi market more transparent, trustworthy, and data-driven, allowing users to make better, more informed decisions.

Sergey Nazarov, Chainlink CEO noted that this move will help major institutions adopt stablecoins securely. 

The partnership uses Chainlink’s trusted infrastructure, which has handled $25 trillion in transactions and securing nearly $100 billion in DeFi assets. It has also worked with major financial players like Swift, J.P. Morgan, Fidelity, and Mastercard.

The launch comes at a time when stablecoins have crossed $300 billion in market value over the past year, and the new GENIUS Act has given the institutions, much-needed clarity. 

With S&P Global Ratings’ SSAs now on-chain, market participants can build and use DeFi solutions that meet the strict risk standards institutions need to move capital on-chain confidently.

S&P Global Expands Its Digital Asset Presence

Notably, S&P Global has steadily expanded in the DeFi space, from launching cryptocurrency indices in 2021 to creating DeFi-focused benchmarks and rating tokenized funds.

Last week, it announced the launch of the S&P Digital Markets 50 Index, which combines cryptocurrencies and publicly traded crypto-linked equities.The index combines 15 major cryptocurrencies with 35 stocks linked to digital asset companies, blockchain infrastructure, financial services, and related technologies.