There is still a massive misconception I see regarding #Chainlink. Unpopular opinion (amongst non-marines) The #LINK token is AT LEAST as much 'oil' as #Ether is. The "customers" of $LINK are not defi users. It's all defi protocols consuming any kind of data
There are people saying Chainlink isn't growing. Chainlink doesn't have a big userbase. Chainlink network usage is dead. I am looking at Aave, Synthetix and co. and thinking "what the fuck r u talking about?" The total value locked and the userbase of all of these defi protocols
ARE Chainlink customers. THIS IS Chainlink usage. It is below all of these defi protocols when it comes to the pyramid. It is *more* foundation than anything else. When total value locked for $SNX and $LEND goes up x100 within the next 2 years then this is directly growing #LINK
.#DMM is a defi project thats not dependent on crypto people lending the fuck out of other cryptos. It's not having volatile returns ranging from 100% APY to 1% APY. There is no smart contract exploit that empties out all assets. It's simply a protocol bridging realworld assets
to users on the internet. Borderless, permissionless stable revenue through assets in the realworld. Not usury crypto loans targeting greedy crypto dumb money. It's closer to the savings account you can recommend to your mother. You will have a simple app like Coinbase wallet
where you can tap into the DMM protocol revenue with a simple click. The realworld assets are pooled from different countries and different industries. Started with car equity loans, going to be Shipping, Aviation and Construction included soon. Just like you can
I did not expect #Maker to add #LINK as collateral, but I'm also not surprised. It makes a whole lot of sense that, after #ETH and #DAI, LINK is the very next coin they want to add as THE collateral for the biggest ETH #stablecoin system. Here is why:
As collateral, you wan't something that is safe in the long run, that is not volatile and based on far fetched / high speculative value. You wan't something with high liquidity and a bit 'cash flow'. Unlike most ERC20, #Chainlink is not fueling new/different blockchains that
compete with Ethereum on the smart contract marketshare (which it has over 95% already). Chainlink does not compete with the Stablecoins where Tether alone has about 90% marketshare. Chainlink is a new 'thing', a new 'category' and serves the purpose of
I really don't understand the negative feedback on @jwolpert#Magicbus announcement.
This is exactly what I want to see coming up. Too many people are too used and hungry to/for
basic partnership announcements.. thats the 2017 ico craze way. #Chainlink was never like this.
Chainlink behaves like an Amazon in 1990 or Tesla in 2010. Stop waiting for partnership headlines
and read what the fuck people like Wolpert are telling you. The difference for startups and dapps
and how the evolve with tech integration is completely different.
A synthetix tier project or Maker
can decide in an instant to go for Chainlink as Oracle solution. But THE companies. The big boys,
they don't go solo and say "yup we go with LINK". They do exactly what we see for months..
I see the (#ETH) public chain private chain debate the same way as centralized/internal #oracles and decentralized oracles (#LINK). Companies started using private chains, as it's easier to test with, it's private from the competition and they have higher throughput right now.
Endgoal is still public chain. This is very clear and specifically confirmed by market leaders like #EY's Paul Brody recently again, #Gartner and #Capgemini. The real value of immutable ledger and end-to-end secure smart contracts lies with the open, decentralized way.
It just takes time till companies can/should use public chain. Privacy is one condition to be met before this happens for example.
Just as these companies test around with private #ethereum chains, they test around with private/centralized smart oracles.
1/ Why I'm betting on #Chainlink instead of other #cryptocurrencies, reason 1/100: It's the main infrastructure for smart contracts, the data layer. Whats the other main part? A blockchain. Whats the main blockchain platform for smart contracts right now? Ethereum. Will it stay?
2/ I have no idea! Maybe another #blockchain becomes no #1 because #Ethereum won't be able to scale. Maybe PoS won't work. Maybe Solidity is not the fitting language for smart contracts. When I came into the DLT space, my bet was purely on smart contract platforms, mainly ETH.
3/ Now, 3 years later with a ton of knowledge and overview, I stopped betting on a single platform, but rather invest in the data layer of the smart contract systems. I have no idea which platform will be king in 5 or 10 years, but I do know that the leading platform depends on
1/ My view on the last 10 years of crypto and it's macro level trends: Not a single protocol or smart contract platform really generated any profit yet OR cut significant cost for a company, and this is totally fine. Bitcoin and Ethereum took +5 years to mature and really get
2/ battle-tested, and still are mostly used on a small scale by speculators and a few shop owners as payment option. The real use case, which is higher automation via immutable smart contracts, has yet to reach adoption. It couldn't have really started YET. Ethereum wasn't mature
3/ There were not many secure/proven smart contract libraries available. We have still seen exploits of more mature startups/projects contracts. Also, Ethereum on it's own, no matter how many and how qualified the developer are, can not really solve any real world use cases
1/ What actually IS Chainlink and how is a Chainlink node different to other nodes/stakers/miners? ELI5 with analogy:
Chainlink is not a cryptocurrency, not a platform, not a blockchain. Chainlink is a network of node operators, running software to fetch, aggregate and send data
2/ It's not competing with your altcoin. It's not 'the new, better Bitcoin/Ethereum'. It's not making a base blockchain layer obsolete. Chainlink makes sure, that your smart contract is still with 100% uptime, immutable and automatically enforced WHEN it uses external data.
3/ Uptime of Bitcoin or Ethereum alone, is basically 100%. Every smart contract on Ethereum, using internal data such as managing tokens or crowdfunding stuff, is still with 100% uptime, 100% immutable and automatically enforceable. An attacker would have to break either layer 1,
1/Value of networks and protocols scales really different. Payment coins don't scale well in value. It doesn't add much value if 'just another' exchange or merchants list it. Smart Contract platforms like ETH scale better but still not well. For any exchange, merchant AND dApp,
2/value increases, but still only a bit. Ethereum doesn't make a difference between a contract executing 10$ worth of assets and a contract with 100,000,000$ being executed. The execution itself by Ether still costs just a few cents. You can tokenize a trillion-dollar worth of
3/real estate on Ethereum and the market cap still doesn't increase much. So what does scale better, with the actual underlying value/managed assets by the contracts? It's Chainlink. The token economics of Chainlink is the best scaling value capturing protocol I've seen so far.
Chainlink performs as strong as Ethereum did in early 2016 run and 2017 run. Against BTC and the whole market, just going strongly up. Chainlink is just as 'the new thing' to the crypto space as Ethereum was back then. Difference is, Chainlink has a bigger network effect. Period.
Size of the Network effect is the biggest factor for a huge bullrun. With all the news and foundation Chainlink has set in the last 1-2 years, manifesting its spot as number one oracle network, integrated in the leading financial and cloud-related frameworks, I think we gonna see
exactly the type and scale of run Ethereum had. With BTC being still at its local low, Chainlink is already almost back to its ATH again. This insane trend against the whole market shows just how much money is flowing into LINK right now, while retailers don't understand it yet.