LINK is so popular, and many friends are not familiar with it.
Chainlink, born in 2017, is a decentralized oracle project that mainly provides a large number of off-chain data sources, various APIs and traditional payment services for smart contracts.
ChainLink's LINK network is the first decentralized oracle network that allows anyone to securely provide smart contracts, access critical external data , offline payments and any other API functions. Any user who has a data feed, offline services (such as local payments) or any other API can directly provide it to the smart contract in exchange for LINK tokens. It can be said to be the leading project of decentralized oracle .
What is Oracle?
The function of the oracle is to write external information into the blockchain to complete the data exchange between the blockchain and the real world . It allows a definite smart contract to react to the uncertain external world. It is the only way for a smart contract to interact with the outside world, and it is also an interface for data interaction between the blockchain and the real world. Smart contracts cannot actively obtain data outside the chain, but can only passively receive data. Therefore, the importance of the oracle is self-evident. With regard to the detailed content of the oracle, due to the length of the space, the principal finds the opportunity to give everyone a detailed science popularization in the community.
Why did LINK soar?
Now the development of the DeFi base layer is accelerating. As mentioned above, the logic of the smart contract is completely dependent on the received data. If the data that triggers the contract is unreliable, the smart contract will fail, so the DeFi project needs the support of a decentralized oracle , And LINK is one of the leading projects. When the wind comes, pigs will fly, let alone the leading project.
Struggling iron still needs its own hard work. The reason why LINK can become the leading project of the oracle is that its own team strength is indispensable. A number of projects including Tornado.cash, a currency platform, and Digitex, a derivatives trading platform, have reached cooperation. In addition, the MakerDAO community has previously revealed that it is considering adding support for the Chainlink token LINK as collateral to further solve the liquidity and premium issues of the stable currency DAI.
We can see that many valuable small currencies have doubled this year, and some small value currencies that the principal often recommends to everyone have a very good increase. The skyrocketing of second-tier currencies shows that the style of market funds has changed, and the preference for second-tier small currencies has become more popular. As a value currency, LINK has the above two conditions. Firstly, it is strong and has strong fundamentals, and the second trend is coming, allowing the fundamentals to be confirmed and applied. Funds must follow the trend and intervene to promote consensus while driving prices.
Many people say that it is too difficult to make money by manipulating the currency circle. This is nonsense, no money is easy to earn. In the currency circle, you must constantly learn from people who are better than you.