Summary:
- What is The Chainlink Platform and how does it work?
- Uses of the Chainlink exchange.
- Chainlink’s present and future price positions.
The Chainlink platform
Chainlink, a blockchain abstraction layer that was established in 2017, enables globally interconnected smart contracts. Chainlink, a decentralized oracle network, enables blockchains to interact securely with external data feeds, events, and payment methods while providing the crucial off-chain information required by sophisticated smart contracts, which are quickly taking over as the primary type of digital contract.
A sizable open-source community of data producers, node operators, smart contract developers, researchers, security auditors, and others powers the Chainlink Network. The firm is committed to ensuring that all node operators and users who want to contribute to the network are assured decentralized involvement.
One of the first networks to support the inclusion of off-chain data in smart contracts is Chainlink. Chainlink is one of the top companies in the data processing industry and has a large network of reliable partners. Chainlink has garnered interest from many reputable data sources since it incorporates off-chain data, including Brave New Coin, Alpha Vantage, and Huobi. Data providers can make money off their information by selling Chainlink access to the data they have.
Chainlink, a decentralized network, enables users to operate nodes and generate income from the vital data infrastructure necessary for the operation of blockchains. Chainlink powers a sizable number of decentralized Price Feed oracle networks that are already in operation and safeguard billions of dollars in value for top DeFi applications like Synthetix, Aave, Compound, and others.
Chainlink now does much more than only collect and provide bitcoin pricing data to DeFi protocols like Aave. The ecosystem presently has access to over 1 billion data points and secures over $75 billion in value through integrations with 1,000 projects across 700 oracle networks. Chainlink has worked with well-known companies including AccuWeather, FedEx, FlightStats, and the Associated Press to verify data. The appointment of Eric Schmidt, the former chairman and CEO of Google, as a technical advisor to the Oracle Network Protocol is one of Chainlink's biggest victories, though.
According to Schmidt, "Chainlink is a secret ingredient to unlocking the potential of smart contract platforms and revolutionizing business and society," and he is interested in helping Chainlink build a world powered by truth. Schmidt joins other well-known advisors to Chainlink, such as former CEO of LinkedIn Jeff Weiner and co-founder of DocuSign Tom Gonser.
The ultimate rollout of staking allowing LINK holders to protect the network and earn rewards is scheduled for 2022 on the Chainlink roadmap. Oracle networks are a type of decentralized computing, not a blockchain, therefore while Chainlink has been working on a staking solution for years, they are not a blockchain. Co-founder Nazarov explained that Chainlink does not produce blocks but “make consensus on hundreds of oracle networks about price data.” He claims that the team is now prepared to introduce staking this year after finally being satisfied with the security and scalability of the consensus mechanism.
Advantages of the Chainlink Platform
- Enables safe communication between off-chain data and smart contracts.
- Possibility of allowing smart contracts that resemble modern financial contracts.
- Financial compensation for securely supplying Chainlink with dependable data.
- Partnerships with major corporations like Google Cloud and SWIFT.
Present and future prices of The Chainlink network (LINK)
Over the past few months, the global markets have been facing strong investor risk-off sentiment in the wake of the geopolitical tensions, Covid-19 lockdowns in China and supply chain issues. The cryptocurrency market has followed the trends of the greater market during these times, therefore the price of most cryptocurrencies have been falling, Chainlink (LINK) does fall under this category.
According to some analysts, the future price of The Chainlink network (LINK) could reach up to $35 by 2024 and could see a price of more than $50 by 2026. However, it is important to remember that this future price prediction is based solely on data and does not take into account factors such as investor sentiment and the ever changing market conditions, both of which make it difficult to make accurate future price predictions.
Chainlink Price Chart
Sources: finance.yahoo.com, coinmarketcap.com, cryptovantage.com, cryptonewsz.com
