Chainlink (LINK)

ChainLink is able to use APIs, data pools and other real-world sources. It starts the possibility of smart contracts to use any data source. It will be very helpful for the project that needs off chain data to be useful. By allowing the blockchain access to data sets, ChainLink seeks to be the bridge between traditional data and the future of the blockchain technology. The ChainLink creates a bridge between on-chain resources and off-chain resources. This means there are two primary components – on chain infrastructure an off-chain infrastructure. On-chain smart contracts are the first component of the Chainlink’s architecture. The oracles will take user requests regarding off-chain data, submitted to the network by using a requesting contract and process them, sending them to the right smart contracts which match with an oracle which can provide the needed off-chain data. Three types of contracts can help with matching – the reputation contract, the aggregating contract, and the order matching contract. The reputation contract makes sure that the Oracle provider is trustworthy. If it is, then the request is passed to an appropriate oracle based on the service level being requested. Lastly, the aggregating oracle collects data from the selected oracles and delivers the best results to the requesting contract.
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