- Famous crypto influencers and investors highlight five reasons why chain links transcend oracle and dominate the blockchain ecosystem.
- He believes that chain links are the missing part of the puzzle A fragmented world of blockchain.
In a recent update, CNF discussed how ChainLink controls the Real World Assets (RWA) ecosystem. The report highlights that it has become the most mentioned RWA token on social media.
Today, a popular investor called Crypto Panda explained in a detailed post why the decentralized blockchain Oracle Network dominated popularity and distinguished itself among thousands of competitors.
First, he believes that chain links solve the problem of blockchain. According to him, several blockchains have been launched, but they have been significantly isolated and fragmented. Charmingly, ChainLink has become a universal standard or single safe layer with the missing parts of the puzzles that connect them.
Second, Crypto Panda believes “smart contracts are ridiculous without chain links.” While acknowledging that smart contracts are strong, Crypto investors pointed out that they cannot retrieve external data or trigger off-chain actions independently. Meanwhile, ChainLink is specifically designed to connect blockchains to the real world, as mentioned in a previous news brief.
According to him, ChainLink Runtime Environment (CRE) solves a major problem by allowing developers to build logic to run any chain. Most importantly, we ensure that this is done safely and automatically.
MEV Bot Protection, ChainLink Build Ecosystem, and Reputation
At his third point, Crypto Panda emphasized that ChainLink solves the problem of Maximum Extractable Value (MEV) bots. When this sheds more light, analysts revealed that ChainLink is building movement values for layers that are invisible across the Internet.
According to him, this starts with a payment abstraction layer. It acts as a universal decentralized application (DAPP) payment layer that helps DAPP pay tokens across any chain. This creates a ChainLink in the toll booth in Web3 where Stablecoins, Gas Tokens, or App Coins run through the infrastructure. To ensure these transactions, ChainLink has MEV protection in place to promote operation within the ecosystem.
All chains can steal profits, according to investors, and cost users billions of dollars. ChainLink solves this problem through a fair sequencing service. This ensures that transactions are organized fairly before they reach the chain. It also unlocks a feature called Smart Value Recapture and sends some of this value back to the network rather than going to the bad actor.
Fourth, investors emphasized that “the build ecosystem is being fed to the link holders.” According to him, the ChainLink Build program allows Web3 applications to gain priority access to the ChainLink service. Essentially, these include price supply, cross-chain interoperability protocols (CCIP), VRF, automation, and more.
In return, the app will return some of its token supplies to the ChainLink network. In this case, value goes back to the stakers, and the economy where real services create real value.
Finally, it was reported that ChainLink created an equal network with all node operators. According to him, this breeds the competition to survive only the best nodes.
ChainLink’s services have been heavily adopted by several well-known projects, highlighting its effectiveness and groundbreaking use cases. As detailed in previous news reports, its CCIP has recently been integrated into Solana. Jupiter also added ChainLink data streams, as mentioned earlier, to boost the persistent trading market.