Thread by @ChainLinkGod

1/ @Delphi_Digital recently released a report titled "The Oracle (Report) Of Delphi" that compares @chainlink, @API3DAO, @PythNetwork, and @BandProtocol

Unfortunately, the report is quite biased and contains many factually incorrect points about #Chainlink

🧵👇 Thread

2/ First, I think it's good that they disclosed they are financially invested in API3 and Pyth as disclaimers, but I don't think that forgives the inaccurate information presented in the report

The issues:
1. Data provider run nodes
2. LinkPool BSC node
3. Chainlink 2.0 staking

3/ 1. The report repeatedly frames Chainlink as just being a "third party" oracle solution that doesn't support "first party oracles"

This is factually incorrect

There are already over a dozen data provider run #Chainlink nodes live on mainnet today

4/ This includes Kraken, Blockpass, Bookmaker Ratings, CipherTrace, dxFeed, Finage, GeoDB, GVol, ProspectNow, SmartZip, SportsMonks, TheRunDown, Tiingo, Watchsignals, and more launching as time goes on

@chainlink is already the most widely used oracle solution by data providers

5/ Chainlink list:
docs.chain.link/docs/data-prov…

Ethereum:
market.link/search/data-pr…

Binance Smart Chain:
market.link/search/data-pr…

xDAI:
market.link/search/data-pr…

Matic/Polygon:
market.link/search/data-pr…

6/ These nodes are ignored in order to create an apparent niche a for API3 and Pyth to fill, a niche that Chainlink has already dominated

This point is mentioned repeatedly throughout and I am surprised that during their research they didn't discover even one of these nodes

7/ Data provider run nodes provide greater security guarantees through cryptographically signed data

DevOps run nodes provide greater data diversity/flexibility as they can connect to any API regardless if the data provider wants to run new infra

None of this is mentioned

8/ 2. It's claimed that @linkpoolio shut down their BSC Chainlink node because one time the gas prices spiked (all oracle projects are subject to this)

Again, this is factually incorrect

LinkPool still in-fact runs their BSC node and generates revenue
data.chain.link/bsc/mainnet/cr…

9/ market.link site does not yet track OCR nodes on BSC, but even the smallest amount of due diligence would have shown this to be a UI issue

Not only does data.chain.link show @linkpool's BSC node, but so does the on-chain data (bscscan.com/address/0x37fc…)

10/ The cryptoeconomic incentives & long-term profitability of running a Chainlink node ensures node operators continue running even during blockchain network congestion

Gas price spikes are not a Chainlink issue but a dynamic all oracles have to deal with on various blockchains

11/ 3. The most egregious part of the report (beyond the incorrect information above) is their explanation of Chainlink v2 staking

It's a complex system for sure, but their explanation here lacks any info about two-tier oracle networks or the super-linear staking impact model

12/ Instead it discusses an attack vector that doesn't even work on the Chainlink 2.0 network and links to Eric Wall's medium post which has already been debunked as not being an accurate explanation

My discussion about their deep misconceptions here

https://twitter.com/ChainLinkGod/status/1403880374988537859?s=20

13/ They even go as far as claiming that Chainlink 2.0's trust-minimization techniques actually requires greater trust (?)

Explicit/implicit economic incentives
Decentralization of nodes/data
On-chain node reputation
Cryptographic signing/ZKPs

None of this is mentioned

14/ An example

“Will the staked value be enough to truly secure the data feeds? After much debate between members of our team, we’re not sure if attaining that is feasible, or even economically viable”

Nowhere is super-linear staking (dn²/2) mentioned, which solves this issue

15/ There are many more issues with the report regarding Chainlink, too much to fit into this thread, but given the conflict of interest with their investments in competing oracle projects, it's unfortunately not too surprising

16/ I honestly had higher hopes for this report because I know the level of quality their research is capable of producing, but the information here is simply factually incorrect and extremely negative towards Chainlink

Original report (paywall)
delphidigital.io/reports/the-or…