What is Chainlink?

Chainlink is a decentralized oracle network designed to connect smart contracts with real-world data, addressing the challenge of accessing external information on blockchains. It consists of a decentralized network of nodes that retrieve, validate, and deliver data to smart contracts, allowing them to respond to real-world events with verified data. This network operates through a consensus mechanism where independent nodes aggregate information to provide a reliable answer.

Founded in 2017 by Sergey Nazarov and Steve Ellis, with contributions from Ari Juels, Chainlink raised $32 million during its initial coin offering. The LINK token serves as the native asset for compensating node operators, funding subscriptions, and staking for network security, with the potential for collateral slashing for inaccuracies. Chainlink has developed multiple services, including data feeds, cross-chain transfers, and automated compliance, and has established partnerships with various financial institutions.