ChainLink - Decentralized Oracle Network For Smart Contract - Market247.io
Web 3.0 has become a buzzword in the technology world in recent years. This is a whole new generation of web with excellent utility because of the use of decentralization. In this post, Market247.io will explore ChainLink, one of the most well-known Web 3.0 projects at the moment. So what is ChainLink? What issue does it resolve? Let's find out by reading the article.
What is ChainLink?
ChainLink is a decentralized Oracle network based on the Ethereum blockchain. Between smart contracts and other data sources, Chainlink serves as a middleman. ChainLink allows smart contracts to securely access an off-chain data feed.
A clearer explanation of the phrase "What is ChainLink?" . It's a bridge used to transmit data and information from the real world to the Blockchain and vice versa.
For those who don't know, Oracle is a solution that gives blockchains and smart contracts access to real-time data. Oracle enables external services to provide blockchain-based smart contracts with real-world data.
What problem does ChainLink solve?
Smart Contract connection problem
Smart Contracts do not have the ability to interact with data sources outside of the Blockchain and vice versa. The development of Smart Contracts with a variety of functionalities is made more challenging by the lack of link to input or output data sources.
The problem of centralized Oracles
Oracle is seen as a source of valuable information but has no access to the real-world.
The benefit of being decentralized is lost if a smart contract only uses one centralized data source. Oracles are now primarily centralized services. A significant drawback of their use is that smart contracts are no more secure than conventional centralized digital agreements.
How does ChainLink solve the problem?
ChainLink builds the way it works around the main function of creating a bridge between On-chain and Off-chain resources.
This is the first part of ChainLink. It includes Oracles created to handle user requests. These Oracles will take any user requests for off-chain data sent to the network using the requested contract types, process them, and then send them to the appropriate smart contract.
Off-chain components are another important part of ChainLink. These are Oracle nodes that exist off-chain, but are connected to the Ethereum network.
All collected data is processed by ChainLink Core, which is software that connects the ChainLink blockchain with off-chain data sources. It is responsible for processing the data and transferring it to the On-chain Oracle.
All of this work of off-chain nodes receives LINK tokens from data collection and transmission.
What makes Chainlink unique?
Chainlink's ability to connect to and validate data from various data sources is what gives it its power. Despite the fact that Chainlink is a third-party oracle project, its internal reputation system may deliver data with a high level of accuracy.
To accomplish this, Chainlink's off-chain design links each node to a reserved API and ties them all together. This ensures that every operated contract on Chainlink gets reacted to.
Another interesting element of the technology is that because it can reconcile all the data, the Chainlink Aggregating Contract can validate data from both a single source and numerous sources.
ChainLink Coin (LINK)
What is LINK?
LINK is a token in the ChainLink decentralized Oracle network. Released to the market via ICO in late 2017.
Currently, ChainLink (LINK) is running on the Ethereum Blockchain platform according to the ERC-677 standard.
What is LINK used for?
LINK is an ERC-20 standard token in the ChainLin ecosystem. It allows tokens to be received and processed across smart contracts in a single transaction.
This token is used in Chainlink's network for the purpose of paying Node Operators for retrieving data from external sources.
Detailed information about LINK token
LINK Key Metrics
Token Standard: ERC-20
Token type: Utility Token
Total Supply: 1,000,000,000 LINK
Circulating Supply: 450,509,553 LINK
LINK Token Allocation
Token Sale & Pre-Sale: 35%
Incentives Ecosystem: 35%
LINK Token Sale
After releasing a white paper in September 2017, the Chainlink team held an initial coin offering (ICO) that raised $32 million. They sold 35% of their total LINK token supply during this token sale event.
Where to buy LINK?
The project's tokens can be found and traded on a number of exchanges such as Binance, Huobi Global, Coinbase, OKEx, ..
Team, Investors, Partners
Chainlink was launched in June 2017 by technology company SmartContract led by Sergey Nazarov (CEO) and Steve Ellis (CTO).
- Sergey Nazarov is a famous businessman known as the founder of Smart Contract, Secure Asset Exchange and CryptoMail – a decentralized email service. Before becoming the co-founder of SmartContract.
- Steve Ellis – CTO of the project was a software engineer at Pivotal Labs and Secure Asset Exchange.
The project's partners are also quite impressive. Many partnerships have happened very quickly since the launch of Chainlink's main network. Two big names can be mentioned, SWIFT and GOOGLE.
ChainLink still has help from a few other very important partners, such as with Oracle (one of the largest software companies in the world) and Binance.
Currently, ChainLink is ranked 23rd on CoinMarketCap. ChainLink is increasingly demonstrating great technological developments and its potential thanks to its position as the top project in the Oracle segment. This demonstrates ChainLink's strong appeal and shows why it should be one of the options bitcoin market investors really consider. Market247.io hopes you learned something useful about cryptocurrencies through this article. Please leave a remark below if you have any queries so that our staff can get back to you as soon as possible.
More information about ChainLink (LINK)? - FAQs
Why is Chainlink valuable?
As an oracle network, Chainlink bridges smart contract platforms with the outside world. This service will become increasingly valuable as blockchain technology and smart contracts become more integrated with the global economy.
Does Chainlink have competitors?
Chainlink's three biggest competitors are Band Protocol, UMA, Nest Protocol and API3.
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