What is Chainlink (LINK) blockchain
It's an oracle network that powers hybrid smart contracts, giving the apps the ability to access off-chain data outside their native platform. For instance, developers can use chainlink to transfer real-world data to smart contracts in a tamper-proof way that is easy to audit.
The most popular application of Chainlink involves sourcing price feed data. For instance, Solanart — an NFT Marketplace on the Solana blockchain— utilizes the Chainlink price feed data allowing it to display USD-based prices for various NFTs on sale.
There are other interesting applications, such as the provision of weather data. The platform supplies various data feeds to several blockchain networks, including Ethereum, Avalanche, Polygon, Binance Chain, and Gnosis. Developers can browse for feeds on the main website based on different categories.
Who created the Chainlink network?
Chainlink was collectively founded by Sergey Nazarov, Steve Ellis, and Ari Juels professor at Cornell Tech. There was also some input from students at Cornell University.
The three co-founders released a white paper titled "Chainlink: A Decentralized Oracle Network" on September 4th, 2017. Sergey and Steve were already familiar with oracle networks after establishing SmartContract, a private provider of open oracle network solutions. The new project was different because it was fully decentralized. The project got its official start on May 30, 2019, following the launch of its main net, kicking off the ability of smart contracts to access external data through Chainlink’s nodes. On April 15th, 2021, the project released a new white paper for “Chainlink V2.0,” introducing the concept of hybrid smart contracts with off-chain data reporting.
What is Chainlink smart contracts?
Smart contracts are applications deployed on decentralized networks that are tamper-proof and capable of executing without interference —after specific conditions are met. The self-verification and execution nature of the contracts introduces the issue of connectivity and utilization of external data from APIs & feeds.
Chainlink attempts to solve this problem by introducing a decentralized oracle network that fosters trust when smart contracts fetch and retrieve data. The network implements both on-chain and off-chain architecture to ensure the seamless exchange of data securely. Chainlink proposes various mechanisms to foster trust, from reputation management to having distributed data providers/sources.
Advantages and disadvantages of Chainlink
The innovative blockchain technology has the following advantages:
- Allows developers to access high-quality data and premium APIs;
- Users can set up a Chainlink node locally or on a remote server, helping to keep the network decentralized;
- Developers can call any API securely from a smart contract with the Chainlink connect library;
- The technology is already proven, having helped to facilitate data connections for the leading decentralized applications such as Aave and Synthetic;
- Developers can automate their smart contracts with Chainlink Keepers
As a network Chainlink does not have a lot of weaknesses or disadvantages. Inherently, it's still limited because there can never be perfectly accurate external data sources.
How many Chainlink (LINK) coins have been issued?
The decentralized network plans to issue 1 Billion LINK coins. In 2022 about 46.9% (469,099,970) of the total supply has been issued.
With the launch of Chainlink Economics 2.0, users can now participate in staking to help run the network. Stakers will earn rewards from several sources, including native token emissions and service fees. Eventually, most of the rewards are expected to be derived from the platform service fees as network adoption grows.
Why buy LINK tokens?
Investors, developers, and ordinary users can choose to buy Chainlink coin for the following reasons:
Paying for Chainlink oracle services: Services making use of external APIs and data feeds will eventually need to pay service fees with LINK;
Trade Chainlink: Users can deposit their link tokens on trading platforms that support various types of orders (market, limit, and stop order);
Holding to sell for profit: Investors can buy link tokens and sell them later when the price exceeds the initial purchase price to make a profit.
Is Chainlink a good investment?
Some characteristics of Chainlink paint the project in a positive light, including:
- Proven technology
- Integrations with all popular blockchains
- Highly experienced co-founders
- Fully decentralized with a sustainable network
Note that all cryptocurrencies are inherently risky, and it's important to carry out a thorough evaluation of a project before adding any token to an investment portfolio.
Is Chainlink reliable?
Chainlink has already proven itself as a reliable decentralized oracle for dApps. Its solutions now secure billions of dollars in value. It has had some noteworthy integrations by companies such as SWIFT. Many projects have also selected the oracle for its security. That said, nothing remains truly certain, and investors should exercise the necessary discretion.
What transaction fees Chainlink has?
Users may encounter various fees when they purchase LINK tokens:
- Processing fees: Paying with a credit card or bank transfer attracts a processing charge;
- Network gas fees: It's a transaction fee on the blockchain;
- Platform commission: Crypto exchanges, ATMs, and other sellers may charge additional fees to facilitate the transaction.
Which wallet is best for Chainlink?
The following wallets may be suitable for storing LINK:
- Software wallet: Atomic, Bread, Coinomi, or Metamask web wallet
- Hardware wallet: Trezor or Ledger
It's always preferable to have a cryptocurrency wallet that provides access to the private key. But if the private keys are lost, it will be quite difficult to recover any funds. Some software wallets keep the keys and make it much easier to recover the wallet in case users forget special paraphrases or passwords.
Can I buy Chainlink with credit or debit card?
Users can buy LINK with credit card. The payment method is quite fast. It's also highly accessible across most jurisdictions around the world. The only drawback is that it may have higher fees than paying with a bank transfer. Note that our vendors require users to have 3D secure cards in case the bank or card provider wants to carry out another verification.
Do I need bank account to buy Chainlink?
There's no need to have a bank account when purchasing LINK tokens. Consider using payment methods that don't require users to have a bank account, for instance, a card linked to a credit line approved by the card issuer. Alternatively, purchase a prepaid VISA or MasterCard. The card works similarly to debit or credit cards.
Can I buy Chainlink with a bank transfer?
Using a bank transfer to purchase Chainlink is possible thanks to Changelly's partnership with reputable third-party payment providers. Wire transfers may take a longer time to have the transaction confirmed, at times taking 1 to 3 business days. Instant bank transfer methods may only take a couple of minutes for the transaction to be successfully processed.
Can I buy Chainlink by App?
Get the Changelly app by downloading it from the App Store or Google Play. Check for the APK version on our website in case of any difficulties accessing the Android app store. Using the app is quite intuitive. Just choose the crypto digital asset and the preferred local currency. Follow the prompts to complete the transaction.
Can you buy Chainlink on PayPal?
The PayPal app allows users in some jurisdictions to use their PayPal balance to purchase cryptocurrencies directly. Unfortunately, Chainlink is not listed as one of the supported coins. Most crypto platforms don't support the payment method, making it difficult to buy chainlink with paypal. And at the moment, our third-party partners don't support PayPal purchases.
How quickly will I receive Chainlink after purchase?
Generally, it depends on several factors, such as our partners' processing speed, how busy they are, the payment method used, and any network congestion on the Chainlink mainnet. But under normal market conditions, it's customary for users to receive the tokens in a specified wallet in about 5 to 30 minutes.
Can I buy Chainlink with fiat currencies?
Buying LINK tokens with fiat currencies is possible. Just find reputable on-ramp sellers (fiat to crypto) that support popular payment methods. Don't search for a list of reputable vendors. Changelly aggregates quotes from up to four platforms. Our calculator highlights the lowest rate and recommends the best amount to spend for the best discounts.
Can I sell Chainlink for USD?
Yes, selling Chainlink for USD is possible. It may be necessary to first convert Chainlink to another popular token during the cashout process. Our platform allows users to swap LINK to popular altcoins and cash out using our Sell feature powered by Mercuryo.
Can I get investment advice about Chainlink on Changelly?
Changelly does the best to present facts about different cryptos in the market. We have previously written about LInk coin basics and Chainlink price prediction on our blog. But note that the coverage does not constitute investment guidance, and buyers should carry out their own due diligence and independent research, as cryptos are inherently risky.
Can I trade with Chainlink (LINK) on crypto exchanges?
It's possible to trade LINK pairs on cryptocurrency exchanges. Find a platform with trading features such as Changelly Pro. Deposit funds by connecting a LINK wallet. Don’t trade cryptocurrencies without a strategy. Develop one and even test it in a demo environment. After building confidence, start trading various LINK pairs by opening new orders.
Can I get Chainlink for free?
Take advantage of the following methods to get LINK tokens for free:
- Testnet LINK: Developers can receive testnet LINK tokens from the official faucets. These are not real funds.
- Run a node: Set up a Chainlink node on a local machine or on a remote server. Node operators earn passive income;
- Start staking: Users will have the ability to stake their LINK tokens in exchange for rewards once the staking feature is enabled.