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What is Chainlink ($LINK)?
What is Chainlink ($LINK)?

Learn what Chainlink is, and how to buy/swap it in Best Wallet.

Updated over a week ago

Chainlink ($LINK) is a cryptocurrency and technology platform that enables non-blockchain enterprises to securely connect with blockchain platforms, providing the link between traditional finance to blockchain technology.

In essence, it serves as a bridge, enabling smart contracts to securely interact with external data sources, APIs, and payment systems. This means institutions like banks can hypothetically use their real-world data - about transactions, users, cash reserves - in blockchain smart contracts.

This technology is called a decentralised oracle network.

What is an oracle?

An oracle is a third-party service that provides smart contracts with external information. They serve as the bridge between the blockchain and the real world.

However, traditional oracles introduce a point of centralisation and potential failure. Chainlink addresses these issues by being decentralised; it consists of multiple independent nodes to provide data, ensuring that the smart contracts receive accurate and tamper-proof information.

Key features of Chainlink

  • Decentralisation: Chainlink operates as a decentralised network of nodes, ensuring robustness, reliability, and tamper resistance.

  • Security: By utilising cryptographic proofs and multiple data sources, Chainlink ensures the integrity and accuracy of data fed into smart contracts.

  • Flexibility: Chainlink supports a wide range of data types and formats, enabling smart contracts to access diverse real-world information seamlessly.

  • Scalability: With its modular architecture and off-chain computation capabilities, Chainlink can scale to handle a vast array of data feeds and requests.

Why invest in Chainlink?

  • Growing Demand: As the adoption of dApps and DeFi protocols continues to rise, there is an increasing demand for reliable oracle solutions like Chainlink.

  • Proven Track Record: Chainlink has established itself as a leader in the oracle space, with a strong track record of partnerships, integrations, and successful deployments across various industries.

  • Potential for Value Appreciation: With its critical role in the DeFi ecosystem and broader blockchain applications, Chainlink has significant long-term value appreciation potential.

  • Diverse Use Cases: Chainlink’s versatility allows it to power a wide range of use cases beyond DeFi, including insurance, gaming, supply chain management, and more, further enhancing its investment appeal.

Can I buy Chainlink in Best Wallet?

Yes, you can buy Chainlink ($LINK) directly in the Best Wallet app, through our integration of Onramper. This means you'll be paired with the best crypto purchase provider for your Chainlink purchase, ensuring you get the lowest fees and best exchange rate.

Can I swap Chainlink in Best Wallet?

Swapping Chainlink ($LINK) within the Best Wallet app is straightforward. By going to the "Swap" feature, you can easily swap your Chainlink for hundreds of other cryptocurrencies, including Ethereum ($ETH), Tether USDt ($USDT), and Wrapped Bitcoin ($WBTC).

To conclude

Chainlink represents a significant step forward in combining blockchain technology with real-world data, offering a robust solution to the ‘oracle problem’.

Providing secure, reliable, and decentralised oracles enhances the usability and applicability of smart contracts, extending the reach of blockchain solutions into various industries. This will bring huge real-life utility to Chainlink and blockchain technology.

Through Best Wallet, accessing and trading Chainlink ($LINK) is convenient and straightforward, enabling you to partake and capitalise in the expanding possibilities of blockchain and real-world data integration.

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