Disclaimer: Information found on CryptoreNews is those of writers quoted. It does not represent the opinions of CryptoreNews on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoreNews covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.
Citadel Securities supports LayerZero as it launches ‘Zero’ blockchain for international markets.
Citadel has made a strategic investment in LayerZero’s ZRO token as the interoperability firm rolls out its high-performance blockchain.
Citadel Securities supports LayerZero as it launches the ‘Zero’ blockchain for global markets. (CoinDesk)
Key points:
- Citadel Securities has invested in LayerZero’s ZRO token and is working on market structure and post-trade applications.
- LayerZero introduced “Zero,” a heterogeneous blockchain aimed at achieving millions of transactions per second with minimal fees.
- DTCC, ICE, Google Cloud, and ARK Invest are engaging as institutions investigate tokenized markets.
LayerZero Labs announced on Tuesday the launch of Zero, a blockchain intended for institutional-grade financial markets, alongside a strategic investment from Citadel Securities in ZRO, the native token and governance asset of the network.
ARK Invest is also investing in LayerZero’s equity and ZRO token, with CEO Cathie Wood joining a newly established advisory board that includes ICE executive Michael Blaugrund and former head of digital assets at BNY Mellon, Caroline Butler, as stated in a press release. The amounts of the investments were not disclosed.
STORY CONTINUES BELOWDon’t miss another story.Subscribe to The Protocol Newsletter today. See all newslettersSign me up
This announcement indicates a stronger commitment from traditional market infrastructure entities toward blockchain-driven trading, clearing, and settlement, as scalability and performance limitations have historically hindered real-world adoption.
Tether Investments, the investment division of the leading stablecoin issuer, has also made a strategic investment in LayerZero Labs, as reported earlier on Tuesday.
Related Posts
Citadel Securities stated it is collaborating with LayerZero to assess how Zero’s framework could facilitate high-throughput operations in trading and post-trade activities. The firm’s stake in ZRO reflects the increasing institutional interest in LayerZero, recognized for managing one of the largest interoperability networks in the crypto space.
As large financial institutions transition from pilot projects and cautious experimentation to more decisive involvement in crypto, they are responding to enhancements in infrastructure and advancements in regulatory clarity. Asset managers, exchanges, and clearinghouses are increasingly perceiving blockchains not merely as speculative mechanisms but as viable improvements to legacy systems, especially concerning trading, settlement, and collateral management. This transition signifies a growing consensus that crypto-native technology is evolving sufficiently to support real-world financial markets at scale.
Zero is structured around LayerZero’s innovative heterogeneous architecture, which employs zero-knowledge proofs (ZKPs) to differentiate transaction execution from verification. The company asserts that this design can accommodate approximately 2 million transactions per second across multiple zones, with transaction fees nearing a millionth of a dollar and virtually boundless blockspace.
Zero-knowledge proofs enable blockchains to confirm the truth of a statement without disclosing the underlying data, thus maintaining privacy while ensuring validity.
LayerZero has indicated that the system provides significant advancements across computing, storage, networking, and cryptography, allowing distinct zones to be tailored for specific applications rather than compelling all nodes to perform the same tasks.
The initiative is launching in conjunction with several key institutions. The Depository Trust & Clearing Corporation (DTCC) expressed interest in utilizing Zero to improve the scalability of its tokenization and collateral projects, while Intercontinental Exchange (ICE), which owns the New York Stock Exchange, is considering applications related to continuous trading and tokenized collateral. Google Cloud is partnering with LayerZero to investigate blockchain-based micropayments and resource trading for AI agents, showcasing increasing interest in programmable currency for machine-driven economies.
“Zero’s architecture advances the industry’s roadmap by at least a decade,” stated Bryan Pellegrino, CEO of LayerZero Labs, in the release. “We believe we can effectively bring the entire global economy on-chain with this technology.
The blockchain is set to launch with three initial zones: a general-purpose Ethereum Virtual Machine (EVM) environment, a privacy-oriented payments system, and a specialized trading venue. ZRO will serve as the foundation for network governance and security, while LayerZero’s interoperability framework connects Zero to over 165 blockchains.
Read more: Robinhood is investing in crypto trading platform Talos at $1.5 billion valuation
