Beginner Coin Introductions
Hey guys, you seemed to enjoy the last five posts explaining the mechanics of alternative cryptocurrencies that I created, so I will continue to do basic analyses of various cryptocurrencies as a series. I will also continue to present more varied and advanced analysis with coins I have researched and relevant cryptocurrency opportunities.
Newcomer Analysis: ChainLink
Current Market Cap: $5,368,768,371
ChainLink describes itself first and foremost as a decentralized oracle network. It functions mainly to improve smart contract connectedness with the outside world and is accordingly based on Ethereum.
Thus, its main value proposition: solving the need for a decentralized external connectivity not only between different blockchains but also between blockchains and real-world data.
In its whitepaper, ChainLink outlines the prioritization of the “distribution of data sources; distribution of oracles; and use of trusted hardware”.
My bias: Comparative to Bitcoin, smart contracts and DeFi are under the radar. ChainLink serves as an integral and internal component to this space. Currently, I do not see any other oracle network that greatly exceeds ChainLink’s capabilities. Although other competitive oracles exist, I do not believe they greatly diminish ChainLink’s promise as a leading oracle.
References:
https://blokt.com/guides/chainlink
https://decrypt.co/resources/what-is-chainlink
https://link.smartcontract.com/whitepaper
Disclaimer: I am by no means a cryptocurrency professional. I am a BS in Finance and approach my analyses through an economic and financial point of view. I do my best to integrate all current relevant information into analysis.
