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Chainlink is Insanely Exploding Higher; Here is Why | – CryptoVibes

The entire crypto market has become a roller coaster with the most notable leader still being Bitcoin. The most popular crypto has gained over 230% since the start of the year despite the drop experienced during the week. Nevertheless, as the mainstream media has been scrambling to explain Bitcoin’s surge, another crypto has quietly outperformed all digital assets in the top 25.

LINK, the native token of Chainlink has soared over 730% year-to-date. Even though LINK’s surge is parabolic, it seems that it is not a pump-and-dump scheme. There are several underlying fundamentals behind the price. In just 2019 alone, Chainlink secured deals with Oracle and Google, secured a listing on Coinbase, and launched its mainnet on Ethereum.

What is Chainlink?

Chainlink is gradually becoming a major player in the smart contracts’ world. Although Ethereum popularized the technology, it is quite challenging for these smart contracts to interact with other blockchains and real-world systems. Chainlink comes in handy to fill the gap. It enables smart contracts to communicate efficiently with existing bank software, APIs, and data feeds.

According to Sergey Nazarov, Chainlink founder, the platform primarily aims to become the best blockchain middleware. It connects systems that require a connection for value to exist. It also strives to build bridges between services like PayPal and Visa, banks like Wells Fargo and HSBC, and blockchains like Bitcoin and Ethereum.

Chainlink was created in 2015 while its ERC-20 LINK tokens were offered to the community in an ICO token sale in 2017. On-chain processing includes smart contracts that have parameters specified in a Service Level Agreement (SLA). Its Oracle data is aggregated and authenticated to eliminating hacking with oracles being rewarded with LINK tokens.

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Chainlink resides on the Ethereum blockchain supporting connectivity to multiple Ethereum dApps. Since interoperability is the primary focus of the whole project, it is scheduled to support more blockchains in the future.

The Oracle markets like Augur and Chainlink integrate real-world data with blockchain technology to open up new possibilities. Hence, many in the blockchain and crypto communities believe that it is the natural evolution of cryptos and smart contracts.

Chainlink Partnership with Oracle and Google

The cloud team at Google has already tapped Chainlink to enhance its blockchain projects. Google’s interest is enough to propel LINK higher on the basis of credibility proof seen from the ‘endorsement’ by the Search Engine giant. Google’s BigQuery also plans to use Chainlink as the mediator between Ethereum and its cloud database.

According to a Google cloud blog post, Ethereum can interoperate with Google’s enterprise cloud data warehouse (BigQuery) using Oracle middleware (Chainlink). Chainlink has also gone ahead to partner with tech-data giant Oracle, aiming to support over 50 Chainlink nodes.

These are significant partnerships seen as huge catalysts for LINK to rise. The cryptocurrency is used to pay node operators. Therefore, the more companies use the Chainlink network, the more valuable LINK becomes.

LINK Listed on Coinbase Pro

LINK jumped 9% alone in 24 hours after Coinbase Pro announced that it would support Chainlink trading. The crypto exchange will start by supporting two link trading pairs that include LINK/ETH and LINK/USD. As usual, Coinbase plans to roll out support for Chainlink in iterative stages to test interest and liquidity. Trading will be made available in all the supported jurisdictions except New York state.

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Oracles can Develop a Better Blockchain

It is now getting known that blockchain interoperability holds a key place in the future success of the technology. Some projects resolve the issue with parent and child chains, while others use sidechains. However, Chainlink uses oracles acting as agents to authenticate real-world data simultaneously preparing it for recording in a smart contract hosted on the blockchain.

The smart contracts initiate the action based on particular criteria like price fluctuation or payment transfer. After the threshold is achieved, a mesh network of Oracle nodes processes the block after reaching a group consensus. Oracle reputation thrives on processing transactions and can be selected as an SLA.

The process of choosing, gathering and presenting data, followed by verification among oracles in the on-chain smart-contract processing that happens on Chainlink. Thus, everything from election results to bank account balances, investment market data, product purchases, and more can be recorded to the digital ledger. Anyone with an API can link it to Chainlink to start earning LINK tokens based on usage of the data.

Since it is created to run off API queries subject to the smart contractual SLAs, the use-cases of Chainlink are simply endless.

Chainlink (LINK) Price Analysis

LINK is issued on the Ethereum platform. The price for today is hovering around $4.15 with a 24-hour trading volume of $770,336,604.The token has surged by over 80% in the past 24 hours alone. LINK has a circulating supply of 364 million coins and a maximum supply of 1 billion coins.

The bulls seem to have taken over this market and the token has stormed into the top 20 list currently holding the 16th spot. Chainlink currently has a market capitalization of $1.44 billion with the price hovering at $4.11. All technical indicators show that the coin may be headed higher in the near future.

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All the partnerships that the company is successfully securing are mostly responsible for the meteoric rise of Chainlink. Where will the rally end? It is anybody’s guess but the more the partners that come aboard the more valuable the token will become.

John Wanguba

John Wanguba

John is a content crafter and has experience in writing Forex and Crypto news for FXTimes for over a year. He is also an experienced creative and technical writer, and is usually one of the first ones to publish, discover or cover a scoop. e-mail: john@fxtimes.com


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