What is Chainlink (LINK)?

Website: https://chainlinklabs.com/

Maximum Supply: 1,000,000,000 LINK

Circulating Supply: 419,009,556 LINK

Total Supply: 1,000,000,000 LINK

Explorer:  Chainlink Explorer

Whitepaper: Chainlink Whitepaper

What is Chainlink (LINK)?

Chainlink (LINK) is a decentralized (oracle) network that aims to connect smart contracts with real-world data. Chainlink, co-founded by Steve Ellis, was developed by Sergey Nazarov. During the ICO process held in October 2017, $32 million was collected with a total supply of 1 billion LINK tokens. LINK, the chainlink decentralized oracle network's own cryptocurrency, is used to pay node operators. Node providers that fail to provide accurate information due to the reputation system of the Chainlink network are reduced tokens, while node providers with a high amount of LINK are rewarded with larger contracts. Its developers describe LINK as "an ERC20 token with ERC223 'transfer and search' function that allows tokens to be accepted and verified in a single transaction". Following the $32 million LINK ICO in 2017, 32 percent of LINK tokens were sent to node operators for the promotion of the ecosystem. It is known that 30 percent remained under Chainlink for development (35 percent was obtained from a public token sale.)

What is Oracle?

Chainlink is defined as a platform that aims to act as a bridge between blockchain-based smart contracts (which became widespread with Ethereum) and real-world applications. Since blockchains cannot provide access to data outside the network, oracle is needed as a data provider in smart contracts. In the case of Chainlink, oracle is connected to the Ethereum network. Oracle provides external data (such as temperature, weather) to trigger smart contracts when predetermined conditions are met. Participants in the Chainlink network are provided with rewards and incentives for accessing external data streams such as API information to smart contracts. The user who wants access to an off-chain data can send a request contract to the Chainlink network. These contracts match the demand contract with the appropriate oracle. Contracts include a reputation contract, a sequence matching contract and a compilation contract. The compilation contract aims to find the most accurate result by collecting the selected oracle data.