Through a tweet, Chainlink announced support for data coming from the well-known Binance exchange.
As of today, it will be possible to connect smart contracts, made available through the partnership with Zilliqa, developed on Chainlink directly with data coming from Binance.
You can now connect your smart contracts to @binance data using #Chainlink. We’re excited to provide reliable data about $BTC, $BNB, $ETH and all the other price pairs on #Binance directly to the next generation of #DeFi smart contracts: https://t.co/pCY6zwME3r pic.twitter.com/05rdn3iJi6
— Chainlink – Official Channel (@chainlink) September 24, 2019
Before today, data on cryptocurrencies was obtained from CoinGecko, a platform that collects and provides a multitude of data on cryptocurrencies and tokens traded on the market. CoinGecko collects data from about 370 exchanges and thousands of tokens.
Some of the most popular blockchain platforms, such as Ethereum, can be used to develop some decentralised finance (DeFi) applications.
DeFi, short for Decentralised Finance, uses blockchain, smart contracts and cryptocurrencies to provide financial services to customers, such as loans, payments, remittances, derivatives or investments.
However, in order to do this, these applications must be able to access the latest real-time prices of the main cryptocurrencies on the market.
The problem arises when a centralised external third party is used for data acquisition. There is a certain probability of data being compromised or tampered with by the provider itself and making DeFi applications somewhat centralised.
Chainlink, on the other hand, guarantees a decentralised way of connecting to a data source. It uses a network of nodes, called oracles, that connect to the data source to ensure that there is not a single entity that has full control of the data.
Thanks to this recent partnership between Binance and Chainlink, DeFi applications will be able to use Chainlink to receive accurate, real-time price data in a completely decentralised manner.
Chainlink has already made a section available on its website for developers who want to test the new features offered by the integration of the Binance API.