Chainlink provides price feed data to Solana in support of Defi

Chainlink – a blockchain oracle platform – recently announced that its price feed technology has been launched on the Solana network. This information will allow Solana developers to use live price information for financial services.

Oracle has announced seven price feeds for Solana developers. These include BTC/USD (ETH/USD), USDC/USD (USDC/USD) At later stages of integration, additional price feeds are available.

Multiple projects have already committed to using Chainlink’s tools, including lending protocol Apricot Finance, and yield farming aggregators Francium and Tulip.

Solana co-founder Anatoly Yakovenko believes the integration will be a boon to Solana’s dapp developers: “Chainlink’s launch on Solana will give defi developers access to the most widely used oracles in blockchain,” he said.

An “oracle” is an entity that bridges blockchain-based applications with external systems, providing data from the real world. Chainalysis is an example of an oracle that allows smart contracts to identify approved blockchain addresses.

Price oracles can be useful tools for defi because they help to determine the appropriate lending rates and collateral rates among different cryptocurrencies.

Terra Classic recently had a defi protocol exploited. The price oracle was incorrectly reporting LUNC data. This enabled the exploiter, despite having minimal collateral to the system, to seize $2,000,000 in funds.

Chainlink’s oracle was associated with some of the exploited dapps, but the error was believed to be a protocol side mistake.

The oracle platform’s co-founder Sergey Nazarov showed excitement about the integration, calling it a “major leap forward,” for the defi industry. His team is anticipating its role within the Solana ecosystem, taking note of Chainlink’s deep oracle network.

Get latest news from African Startup ecosystem

Latest stories

You might also like...